Russia SHUNS dollar for trade as it joins Turkey in protest against Trump


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Moscow declared it will decrease its holdings of US assets in retaliation against crippling tariffs imposed by US President Mr Trump on Russia and Turkey.

However, Russian finance minister Anton Siluanov said on state television today that they have no plans to shut down IS companies within the country.

Chillingly, Prime Minister Dmitry Medvedev said Russia would regard any US move to curb the activities of its banks as a “declaration of economic war” and added the country would retaliate.

Fresh sanctions against Russia has been threatened by President Trump who declared Moscow were responsible for the Salisbury Novichok nerve agent attack on former Russian spy Sergei Skripal, 66, and daughter Julia, 33, back in March.

Mr Siluanov said the new sanctions were “unpleasant but not fatal” and used a TV interview to shed light on the drop in Russia’s holdings of US government bonds restricted as a result of the tariffs.

He said: “We have lowered to the minimum level and will further decrease our investment in the U.S. economy, in the US securities.

“Eventually, this will negatively impact US investors. But we are not planning now any limitations such as shutting down McDonalds.

“Our citizens work in these companies, these companies pay taxes into the budget of our country

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But while admitting that sanctions would boost inflation in Russia as they hurt the rouble, Mr Siluanov said there were no plans to ban using the dollar in Russia.

He said: “Of course, the government has no such plans.

“That would be a step to an impasse.”

Russia’s rouble fell to an two-year low following the threat of sanctions which were forced upon Turkey.

Though Turkish President Recep Tayyip Erdogan announced the nation is ready to trade with other partners.

He said: “We are gearing up for trade in national currencies with China, Russia, Iran, Ukraine.”

Mr Trump doubled tariffs on Turkish aluminium to 50 percent and steel to 20 percent causing the lira to plummet to a dangerous value.

Iran stepped into the bitter spat and announced it too would stand by Turkey, punished by Mr Trump for continuing to trade with the country despite efforts by the US President to halt their nuclear weapon programme.

russia turkey sanctions

Turkey also refused to release American pastor Andrew Brunson, arrested on terror charges having been accused of a 2016 coup to overturn the Turkish government.

The US has continued to insist he is innocent.