China’s Quiet Currency Offensive: Printing Yuan to Dominate Global Resources and Undermine the West
In an era of escalating geopolitical tensions, traditional warfare with tanks and missiles is giving way to subtler forms of conflict—economic maneuvers that reshape global power without a single shot fired.
China’s recent monetary expansion, marked by a ¥25.03 trillion increase in its M2 money supply over the past year, is not merely a domestic stimulus effort.
It represents a calculated strategy to flood the world with yuan-backed liquidity, enabling Beijing to hoard critical minerals, metals, and commodities.
This approach amounts to atypical warfare, aimed at crippling the West—particularly the United States—by controlling the raw materials essential to modern economies, defense systems, and technological advancement.
The M2 Surge: Fuel for a Resource Grab
China’s broad money supply (M2) has ballooned to approximately ¥336.99 trillion as of November 2025, reflecting an 8% year-over-year growth.
China’s broad money supply (M2) has ballooned to approximately ¥336.99 trillion as of November 2025, reflecting an 8% year-over-year growth.
The absolute increase—¥25.03 trillion—equates to injecting trillions into the economy, far outpacing Western counterparts in scale.
Unlike the U.S. Federal Reserve’s quantitative easing, which often inflates asset bubbles, China’s expansion is channeled strategically. As one analysis notes, when China prints, it doesn’t pump stocks—it secures resources like gold, silver, energy, and industrial metals. @EtherGuru08
Unlike the U.S. Federal Reserve’s quantitative easing, which often inflates asset bubbles, China’s expansion is channeled strategically. As one analysis notes, when China prints, it doesn’t pump stocks—it secures resources like gold, silver, energy, and industrial metals. @EtherGuru08
This liquidity isn’t staying idle. It’s flowing into global acquisitions, turning freshly printed yuan into tangible assets. China’s imports of commodities surged in 2025, with energy, high-tech inputs, and metals seeing double-digit volume increases despite softening domestic demand.
This disconnect—buying more while consuming less—suggests stockpiling, not organic growth. Historians may one day view this as a deliberate pivot: borrowing cheaply in dollars, repaying with devalued currency, and locking in yuan-denominated supplies from the Global South and the USA.
Dominating Critical Minerals: The New Battlefield
Critical minerals—silver, lithium, cobalt, nickel, rare earths, and more—are the lifeblood of electric vehicles, renewable energy, semiconductors, and military hardware. China already controls 60% of global refined critical mineral supply, and an estimated 70% of global refined SILVER supply.
Critical minerals—silver, lithium, cobalt, nickel, rare earths, and more—are the lifeblood of electric vehicles, renewable energy, semiconductors, and military hardware. China already controls 60% of global refined critical mineral supply, and an estimated 70% of global refined SILVER supply.
This dominance didn’t happen by accident; it’s the result of decades of investment, often under the radar of state-owned enterprises.
In 2025 alone, Beijing tightened export controls on rare earths and other minerals, escalating trade disputes with the U.S. and EU.
On Jan 1st 2026, China began export restrictions on silver. Silver prices exploded in the months leading up to China’s new silver export restrictions, and continue to rally early in 2026.
On Jan 1st 2026, China began export restrictions on silver. Silver prices exploded in the months leading up to China’s new silver export restrictions, and continue to rally early in 2026.
The strategy is clear: Use expanded currency to outbid competitors and secure mines, refineries, and supply chains worldwide.
From Africa’s cobalt fields to South America’s lithium reserves to Mexico’s silver mines, Chinese firms are embedding themselves deeply.
From Africa’s cobalt fields to South America’s lithium reserves to Mexico’s silver mines, Chinese firms are embedding themselves deeply.
A U.S. House report accuses China of manipulating mineral prices to undercut Western producers, recommending U.S. stockpiles as a countermeasure.
Meanwhile, China’s own reserves are swelling: Oil stockpiles approach 1.5 billion barrels, metals like copper and nickel cover 20-100% of annual demand, and grain holdings represent over half the world’s wheat and maize stocks.
This isn’t benevolent investment; it’s economic coercion.
By controlling refining—65% globally for some minerals—China can weaponize shortages.
By controlling refining—65% globally for some minerals—China can weaponize shortages.
Western defense manufacturers are already scrambling for alternatives as Beijing limits flows, forcing them to scour the globe for critical minerals for bullets, jets, and missiles.
As one expert puts it, the Chinese Communist Party uses this playbook to dominate supply chains, extending leverage over U.S. dependencies.
Atypical Warfare: Starving the West of Essentials
What elevates this from economic policy to warfare is intent. Xi Jinping’s directives emphasize increasing global dependence on China, creating “powerful retaliatory capabilities” against supply disruptions.
What elevates this from economic policy to warfare is intent. Xi Jinping’s directives emphasize increasing global dependence on China, creating “powerful retaliatory capabilities” against supply disruptions.
This aligns with Beijing’s long-term goal: Global dominance by century’s end, using BRICS, the Belt and Road Initiative (BRI), gold accumulation, and U.S. Treasury divestment as tools.
Consider the asymmetry. The U.S. relies on China for 70% of rare earth imports, vital for everything from F-35 fighters to iPhones.
By printing yuan and converting it into resource control, China creates chokepoints.
A “commodities cold war” is underway, with China stockpiling LNG, oil, and metals while Western institutions short silver and other assets—positions larger than annual global production.
A “commodities cold war” is underway, with China stockpiling LNG, oil, and metals while Western institutions short silver and other assets—positions larger than annual global production.
This sets up a squeeze: Paper supply is infinite, but physical resources are not.
The West’s complacency—fueled by “woke” distractions, as some critics argue—has allowed this erosion.
The West’s complacency—fueled by “woke” distractions, as some critics argue—has allowed this erosion.
China’s moves mirror historical precedents, like pre-WWII resource grabs, but updated for the 21st century: No invasions, just acquisitions. As stockpiles grow (gas storage up to 28 days by 2030, oil covering 115 days of imports), Beijing prepares for crises—perhaps self-inflicted ones to pressure adversaries.
Implications for the West: Time to Counterstrike
This yuan-fueled resource offensive threatens U.S. hegemony.
Donald Trump understands this, and has begun taking measures to strike back against China.
Trump added silver and copper among others to the US Strategic Minerals list in November, the US Gov’t announced last week that a new US smelter/refiner of silver & other critical metals will open in Tennessee- the first new US smelter in over 5 decades, and the US overthrow the Maduro regime taking control of Venezuela’s massive oil deposits.
Completely breaking China’s hold could take a decade, requiring massive investments in mining, refining, and alliances.
This yuan-fueled resource offensive threatens U.S. hegemony.
Donald Trump understands this, and has begun taking measures to strike back against China.
Trump added silver and copper among others to the US Strategic Minerals list in November, the US Gov’t announced last week that a new US smelter/refiner of silver & other critical metals will open in Tennessee- the first new US smelter in over 5 decades, and the US overthrow the Maduro regime taking control of Venezuela’s massive oil deposits.
Completely breaking China’s hold could take a decade, requiring massive investments in mining, refining, and alliances.
The EU is pressing for critical minerals projects, but progress is slow.
Meanwhile, China’s silent cartel expands, from Chilean grids to Kazakh farmland.
To counter, the West must diversify supplies, build stockpiles, and rethink monetary policy. Ignoring this risks a future where the U.S. begs for minerals to power its economy—or worse, its military.
China’s M2 expansion isn’t just inflation; it’s ammunition in an atypical war.
The question isn’t if the West will respond, but whether it can before the yuan becomes the world’s new reserve—for resources, not just currency. This perspective, while grounded in observable trends, remains speculative. Economic strategies can serve multiple goals, from growth stabilization to geopolitical leverage. Yet, the patterns—printing, hoarding, restricting—paint a picture of deliberate asymmetry. In the resource scramble of 2026 and beyond, the West must wake up or risk being outmaneuvered.
China’s M2 expansion isn’t just inflation; it’s ammunition in an atypical war.
The question isn’t if the West will respond, but whether it can before the yuan becomes the world’s new reserve—for resources, not just currency. This perspective, while grounded in observable trends, remains speculative. Economic strategies can serve multiple goals, from growth stabilization to geopolitical leverage. Yet, the patterns—printing, hoarding, restricting—paint a picture of deliberate asymmetry. In the resource scramble of 2026 and beyond, the West must wake up or risk being outmaneuvered.
The main driver behind silver’s historic price move from $30 to near $90 is not investment or industrial demand – it is the RED DRAGON launching a Commodities Cold War & WEAPONIZING Gold, Silver, & the rest of the world’s critical minerals.
