China is stocking up on 4 raw materials before the start of one of the three wars
China is taking measures to get ahead of a possible trade, currency, or even military war, the most unlikely of the paths that could disrupt its markets. Therefore, the Asian giant is choosing to accumulate raw materials in large quantities, especially gold, silver, copper, and oil, according to international investors and traders, who warn of the significant increase in Chinese activities with these elements. A measure that could be a response to what happened with Russia after Putin’s decision to invade Ukraine. Faced with Western sanctions and blockades, the Russian industry and economy have been affected, something that Beijing wants to avoid. Therefore, and in anticipation of possible geopolitical, military, or economic crises, they are betting on an accumulation to respond to the possible effects associated with these global movements.
«Xi Jinping seems to have studied the sanctions program that the West applied against Russia after the invasion of Ukraine and is now applying long-term protective measures to protect the Chinese economy and resist similar pressures,» recently acknowledged former head of the Office of Naval Intelligence, Michael Studeman, quoted by the Spanish newspaper El Economista.
China’s move to stockpile these raw materials is a strategic decision aimed at safeguarding its economy from external disruptions. By accumulating gold, silver, copper, and oil, China is preparing to weather any potential storms that may arise from geopolitical tensions, military conflicts, or economic downturns on the global stage.
The recent events in Russia and Ukraine have served as a stark reminder of the vulnerability of economies to external shocks and sanctions. China, learning from these experiences, is proactively securing its access to essential resources to maintain stability and resilience in the face of uncertainties.
The accumulation of these raw materials also serves as a form of insurance for China against any unforeseen circumstances that may arise in the future. By diversifying its reserves and reducing its dependence on external suppliers, China can mitigate the risks associated with supply chain disruptions and price fluctuations in the global market.
In conclusion, China’s strategic stockpiling of gold, silver, copper, and oil is a proactive measure to protect its economy and ensure stability in the face of potential challenges. By taking preemptive actions to secure essential resources, China is positioning itself to navigate through turbulent times with resilience and strength.