“If Brazil wants to replace the dollar, good luck”, says former US ambassador

Former US Ambassador to Brazil Thomas Shannon assesses that President Luiz Inácio Lula da Silva (PT) is “repeating China’s narrative” without “obtaining anything important for Brazil’s interests” and that Brazil “must be careful with what he says” regarding the war in Ukraine and “presenting himself as neutral” in the conflict.

In an interview with the newspaper O Globo, published this Friday (14), he also said that the dollar is a global currency due to the “power of the American economy”, when commenting on Lula’s statement this Thursday about using other currencies to finance trade relations between the countries of the Brics (bloc that brings together Brazil, Russia, India, China and South Africa).

“The dollar is not a global currency because the US imposed it, it is a global currency because of the power of the US economy, and the role of the US economy in the financial system and the global economic order. If Brazil, China or the Brics want to replace the dollar, OK, go ahead. What currency are you going to use? The Chinese currency, the Brazilian one? Ok, good luck with that,” he said.

Shannon also believes that Brazil is making mistakes in terms of getting closer to China, although he recognizes the importance of the Asian country for the Brazilian economy. “Brazil must present itself as a country that defines its interests, that articulates these interests, and not seem subservient to anyone. Today I see Brazil repeating China’s narrative, without necessarily obtaining something important for Brazil’s interests.”

The diplomat also criticized Brazil’s approach to the Chinese technology giant Huawei, investigated in the US for espionage. He points out that Huawei can use communication network structures to gain access to information, which can be passed on to the Chinese government. “It’s a decision that every government must make. We’ve made clear our concerns about security, confidentiality.”