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News · ■ Mixed · 1 source confirmed · 2026-08-25 16:00 UTC

China needs U.S. dollars but is building a hedge against Washington’s sanctions

Why it matters

China's efforts to build alternatives to dollar system could gradually reduce dollar dominance, but near-term impact is limited.

Details

The U.S. can pressure Chinese banks over Iran through access to its financial system, while Beijing is building alternatives such as CIPS.

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