China’s Push for Yuan in BRICS Trade Faces Global Resistance

Since 2022, China has been actively promoting the yuan as a go-to currency for trade among BRICS nations, capitalizing on geopolitical rifts—particularly after Western sanctions hit Russia.

With Moscow turning to the yuan for major transactions, and countries like Iran, India, the UAE, Nigeria, and Belarus following suit, Beijing seemed to gain traction in its campaign to globalize its currency.

However, the momentum hasn’t translated into meaningful gains in global currency reserves.

According to data from the Atlantic Council, the yuan’s share in international reserves remains modest. Despite increased usage, it poses no real challenge to the dominant role of the U.S. dollar.

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Some BRICS members are beginning to distance themselves from the yuan.

India, for instance, has scaled back usage, reportedly due to concerns that adopting China’s currency would give its regional rival greater leverage. Longstanding tensions between New Delhi and Beijing—especially over trade and border issues—make full yuan integration politically sensitive.

While Beijing’s efforts signal ambition, the path to dethroning the dollar is steep. Even the euro and pound, far more established, have failed to dent the greenback’s supremacy.

For now, China’s dream of a globally accepted yuan remains just that—a distant ambition rather than an imminent reality.

Alexander Stefanov