Yes, Prime Minister of Japan

Then she crawled inside too.

Nan Haonu came out blushing, while Li Daiyao suddenly stood up and said, "I think there should be news from Beijing."

Then she pulled Lee Ju-yeon and Jo Yeol-sook inside together.

In any case, Li Xinghe did not fall asleep until the early hours of the morning.

The next day.

When Kokubun Makabe arrived at the Cabinet Residence, the room was spotless.

"You, did those fairies drain you dry again last night?"

Li Xinghe woke up groggily, kissed Kokubun Makabe's cheek, and the first thing he thought of was:

"When the dollar depreciates, they make money, and so do we."

"Do you need to tell me?"

After freezing the inflow of US dollar funds in advance, Kokubun Makabe controlled the Cabinet Central Treasury and kept selling off the US dollars that Japan could still find, continuously pushing down the value of the dollar. He then used the dollars to buy up various trade contracts settled in US dollars and used the dollars, which had depreciated by more than 30%, to pay off these contracts, making a huge profit out of thin air.

"That's right. Now let's get down to business."

Li Xinghe began his efforts to rescue the market.

The first step was to suspend trading of Japanese stocks for one day, not because they were afraid of a sharp drop, but because they were afraid of a sharp rise.

We can't let those guys with constantly depreciating dollars just easily squeeze in and exchange their assets.

Unlike China, financial powerhouses like the US and Japan always experience an excess of liquidity in their markets. Specifically, the Tokyo Stock Exchange in Japan is essentially a "fake" stock market, crammed with Japanese companies that don't really need to be listed, while its fundraising is ridiculously low. The US stock market, on the other hand, serves as a reservoir for US liquidity, accumulating excess funds across society. Therefore, regardless of economic conditions, the stock and housing markets are actually more closely related to market liquidity.

Similarly, Hong Kong and Singapore have also suspended the inflow of US dollars to prevent the rampant depreciation of dollars from launching global terrorist attacks.

It was only during a cabinet meeting that Li Xinghe discovered:

Wow, the Eurozone hasn't severed ties with the dollar?

Everyone laughed:

"After all, the United States is the father of the European Union."

"The Eurozone is finished."

After hastily arranging the cabinet's financial defense measures and calling on various regions to strengthen self-reliance, Li Xinghe rushed outside the cabinet, grabbed the ambassadors of various countries to Japan, and began a hurried discussion about the East Asia-Northeast Asia-Pacific Free Trade Area.

Facing the reporters, Li Xinghe read from his prepared statement:

"The CPC/TPP and BRICS are no longer sufficient to meet our needs. Therefore, we will concentrate the efforts of East Asian countries to establish an East Asian Free Trade Area. We will establish a comprehensive multilateral central bank digital currency bridge based entirely on the sovereign currencies of each country, and launch an East Asian trade stablecoin to serve as a settlement mechanism for trade between countries, thereby reducing the time for cross-border trade funds to arrive from 3-7 days to 15 seconds."

The so-called multilateral central bank digital currency bridge is a regional trade settlement mechanism that bypasses the US dollar. It is also a trade solution that China has been vigorously promoting in recent years, combined with sovereign currency swaps, to gradually expand the scope of the RMB.

Li Xinghe's stablecoin is not a real currency, but rather an average accounting figure that summarizes the changes in the currencies of various countries over a period of time. It is used to provide virtual stability to the trade of the countries that have signed the treaty, and to prevent the collapse of trade contracts caused by the rapid appreciation or depreciation of a particular currency.

Of course, if it were to be monetized, it could become an Asian currency similar to the Euro, draining Southeast Asia's economic base just as Germany destroyed European industry.

Despite the fact that specific details have not yet been finalized, the US is forced to rush into establishing a free trade zone and developing its own core economic area amid the impact of the dollar economic crisis.

Li Xinghe kept repeating:

"In our free trade zone, we will gradually reduce tariffs on the vast majority of traded goods to zero, and we will also lower financial interest rates to expand financial liquidity and strengthen support for industry..."

Li Xinghe on stage seemed distracted, while the reporters below looked completely bewildered.

"What? The East Asia Free Trade Area is starting already?"

The dollar has just started to depreciate, and you're already trying to undermine it and stab it in the back?

Reporters from various countries could hardly believe that Li Xinghe was so bold as to actually dare to disrupt the dollar's economic system.

Looking up at the signatory countries—China, Japan, Russia, South Korea, and North Korea—the reporters were once again stumped.

Reporters couldn't help but ask:

How did you switch sides so quickly?

not only that.

Hosley led a group of Singaporeans out:

“Singapore Special Administrative Region should also join in.”

Then representatives from the Sin Chew Special Administrative Region team also stood in the delegation to sign the agreement on behalf of the United Army.

Nguyen Thanh Nghi led a group of people from the Southern Bureau of the Vietnamese Communist Party to jump out:

"Nanqi wants to join in too!"

Then the South Vietnamese representatives rushed in to sign the agreement.

"what?"

"You fucking..."

For many Western journalists, watching Li Xinghe solemnly holding the hands of the foreign ministers of China, Japan, Russia, South Korea, and North Korea on stage, while the hands of the representatives of Singapore and South Vietnam swayed around him, and suddenly he put away his aggressive and evil ways and started to pretend to be a good person promoting local peace, made them grit their teeth.

They couldn't help but ask:

"Where is your willingness to cooperate with the United States? Where is your struggle against China's Greater China policy? What about Japan's old and new grudges against North Korea? What happened to the agreement for Japan to compete with China for the world?"

Soon, Duchess Olympia arrived at the scene, and with an elegant demeanor, she stated:

“Australia and New Zealand should also join.”

Tulsi, who had rushed back from Samoa, hurriedly came out to make up the numbers:

"Samoa also wants to join in."

A large number of representatives from Pacific island nations, including the Solomon Islands and the Marshall Islands, were also present. They rushed up to sign the document, eager to extricate themselves from the dollar system.

"Me! Me! Me! Us too! Ukraine is joining us! Odessa is going to be built into an international free trade port!"

In a corner, the Ukrainian ambassador to Japan jumped up and down, trying to get a shot of himself from the reporters.

But nobody really bothered to pay him any attention.

Putting Russia aside, North Korea itself is also a closed economy. However, as the world's industrial engine, China, Japan, South Korea, Singapore, and resource-rich countries like Australia and New Zealand have all hastily severed their economic ties with the US dollar. This is tantamount to declaring that the US dollar can no longer exist as the world's trade currency.

The US dollar exchange rate continued to fall after yet another heavy blow.

From the perspective of American capital that has been reaping global profits, it's time to launch a sweeping operation.

But suddenly, those dollar tycoons who had initiated the dollar devaluation trend and transferred their funds to Japan in hopes of profiting from the world found that their money was now untouchable.

Li Xinghe not only shut down the channels for receiving US dollars, but also blocked their channels for absconding with the money.

Want to run off and harvest? No way.

To trap a dog by closing the door.

With no capital available to take over, the effects of the plummeting dollar exchange rate continue to spread.

The United States' consumer power has supported the economies of many industrialized countries and entrepot industrial nations worldwide. The sudden collapse of the dollar plunged factories in these countries into massive losses, and brought the United States' legitimate import business to the brink of collapse. This wave of devaluation and bankruptcies spread like a massive tsunami in an instant.

The first to bear the brunt was Europe, which was unable to stop the rampant flow of dollars. This led to a frantic rush to exchange depreciated dollars, a collapse in orders, currency instability, and a flood of worthless dollars being exchanged for euros. The harm caused by the excessive issuance of dollars was thoroughly instilled in Europe, and the economies of EU countries were severely damaged. They completely absorbed the mess left by the United States.

A wave of bankruptcies and closures began to sweep rapidly across Europe and then the rest of the world.

Thailand, Vietnam, Cambodia, Malaysia, Indonesia, Brunei, the Philippines, Myanmar, and most importantly, India and Pakistan, have all been impacted by this raging economic torrent, like monkeys struggling in a flash flood, inescapably swept towards collapse. (The last part, "梅呢有林在想空你林在在没呢," is a nonsensical string of characters and doesn't translate directly. It's left as is.)

Vietnam, reliant on imports from China and its exports to the United States, has suffered a severe economic collapse after losing its market share and being unable to handle its imports. Coupled with the recent shuttle bombings by Li Xingha, 37% of its factories went bankrupt in the initial shock. The continued depreciation of the US dollar dragged down various Vietnamese banks and the real estate sector, leading to mass bankruptcies. Workers lost their jobs, farmers couldn't buy fertilizer, and the service industry collapsed, revealing a terrifying prospect of national collapse.

Southeast Asia as a whole relies on service sector revenue, particularly tourism and import/export trade with China and the United States. Now that US imports have been cancelled, the ability to engage in entrepot trade between China and the US has been greatly reduced, and the economic models of Southeast Asian countries are collapsing across the board, much like Vietnam.

Two of Indonesia's four major banks are facing problems; Malaysia's already dire basic education system has come to a complete standstill, with teachers unable to receive their salaries and most students forced to attend Chinese-run schools. Cambodia's agriculture has been devastated, with widespread bankruptcies among farmers. Thailand's tourism industry has plummeted overnight, forcing even ladyboys to seek alternative livelihoods.

Similarly, South Asian countries with more fragile economies, such as Bangladesh and Pakistan, have directly faced bank failures and industrial shutdowns.

India……

Perhaps only a bizarre country like India can, despite massive famine, violence at the grassroots level, weak local governance, and rampant gangsters, still manage to suppress rampant crime while simultaneously chanting "Long live Bharat!"

Even Modi can no longer proclaim the slogan of a developed country by 2047.

The first impact of the global economic tsunami landed squarely on the United States, as well as on various countries outside the United States.

Chapter 878: Li Xinghe, the Pillar of Heaven, What a Fierce Struggle (4700 words)

"Negotiations for the East Asia Free Trade Area are underway!"

Tokyo.

Princess Naoki of Japan, Prime Minister Ayako Aso, Prime Minister Lee Sung-ha, Chief Cabinet Secretary Kagami Shikaoike, South Korean President Cho Koo-hwan, and ambassadors and trade negotiators from China, North Korea, and Russia gathered together.

Everyone gathered together to discuss favorable terms for cooperation, forming a breakwater against the wave of dollar collapse.

Lavrov appears to be the same as always; he's open to selling.

"Russia can agree to consider supplying oil, gas and coal through a currency bridge model. Russia can become everyone's energy hub."

China naturally relies on industrial exports to maintain economic stability.

It's not just the East Asian Free Trade Area; diplomats are busy promoting business cooperation and pushing currency swap agreements that exclude the US dollar in Central Asia, the Eurasian Railway, and Africa.

Li Xinghe spoke on behalf of the financial nation:

"We should immediately promote industrial subsidy policies to provide financial support for users to purchase new industrial products, given the industrial orders lost by factories due to the chaos in the US dollar."

“Japan and South Korea should immediately lift environmental restrictions, scrapping restrictions, and strict restrictions on garbage sorting. For residents who have been using old appliances for a long time and are replacing them with new appliances, not only should they not be charged scrapping fees, but they should also receive subsidies for trade-ins to encourage people to spend more and replace their old appliances.”

As is well known, Japan has very strict scrapping and waste sorting policies, so Japanese people often don't replace their home appliances for many years. This is a potential source of industrial consumption.

In response, Li Xinghe added his commitment to environmental protection:

"I previously placed orders with China to build two large-scale waste-to-energy incineration plants and ten old appliance dismantling centers in Japan, increasing the recycling and dismantling of old appliances throughout Japan. Now all of them can be put into operation immediately."

Two large-scale waste-to-energy incineration plants have been built: one in Utsunomiya City, Miyagi Prefecture, on the Kanto Plain, and the other in a reclaimed industrial area on the coast of Kobe City. These plants can incinerate 1 tons of waste daily and have sophisticated waste sorting lines for recycling. The reason for building these two large incineration plants is that Japan, despite being a nominally developed country, has stagnated in waste management, focusing instead on the arduous process of waste sorting that burdens its entire population. Meanwhile, garbage dumps are piling up around many cities, unmanaged and unattended.

They don't even know how to burn this garbage.

Therefore, Li Xinghe also issued a new notice regarding waste disposal in the past few days:

"Remove the shackles of garbage sorting."

Japan has incredibly stringent garbage sorting requirements, with ridiculously detailed criteria for different types of waste, making everyone living there feel disgusted. But in reality, with advanced garbage sorting systems and incineration plants, all of this is utterly futile. It's a typical example of Japanese effort that ultimately amountes to nothing, serving no purpose other than causing unnecessary trouble. (The last sentence appears to be unrelated and possibly spam/advertisement.)

Many Japanese women no longer have to sort through dry garbage every Monday, Wednesday, and Friday, wet garbage every Tuesday, Thursday, and Saturday, and spend weekends squatting next to the garbage can sorting through several bags.

In short, everyone at the meeting quickly came up with a lot of ideas to protect employment and the economy.

Lee Sung-ha initiated a trade-in program in Japan and South Korea:

"Trade-in now!"

Li Xinghe refers to this economic cycle as:

"Patriotic subsidy".

The problem is that Japanese white goods have been largely taken over by Chinese companies, or by companies that have bought the names of existing Japanese companies and replaced them. So, in the end, almost all the purchases are from Chinese brands.

South Korea followed the same path, so once subsidies began, it was tantamount to providing subsidies to Chinese white goods companies.

Netizens couldn't help but make humorous remarks:

Which country do you love?

Of course, it's not just about subsidizing white goods; Japan and South Korea are also major automobile-producing countries. Therefore, Li Xinghe also allocated funds to encourage people in Japan and South Korea to consider trading in their old cars for new ones during this crucial time.

Although some die-hards might say things like "joint venture cars have no soul" or "Toyota and Honda, which are integrated into the Chinese supply chain, have no soul," reality does not change according to human will.

When buying a car, you still need to look at the features.

After the meeting concluded, a joint communiqué was issued, injecting a strong boost into the market.

However, the private talks were not so relaxed and pleasant.

Lavrov did indeed have something to discuss with Li Xinghe:

"With the economic crisis, the pro-Russian sentiment in Russia is getting a bit out of control. It might trigger a conflict in Ukraine. If you have the resources, it would be best to send people to Ukraine to control the ports and lands near Odessa. Keep those crazy radicals at bay. After the economic crisis, you can also acquire those land and city assets in western Ukraine controlled by companies like BlackRock, right?"

Li Xinghe couldn't help but suspect the Russians' intentions. Were they really willing to give up the rest of Ukraine's assets for such a low price? Or was Putin trying to use them as a human shield?

Of course, Lavrov then made the following request:

"We also want to order missile defense ships and offshore missile boats from you for the defense of the Baltic and Black Seas."

From a practical standpoint, as long as Putin's position is secure, Li Xinghe certainly wouldn't sit at the same table with those fanatical pro-Russian elements. Therefore, this deal—exchanging interests in Western Ukraine for a missile boat order, indirectly preventing pro-Russian elements from using the situation to cause trouble—was negotiated quickly.