Recently, the White House** issued a warning that US support for Ukraine will be exhausted by the end of the year, and the United States will no longer be able to provide resources to Ukraine unless Congress approves the budget. This has caused heated discussions in all walks of life and made people think about the future of American foreign policy.
The U.S. Congress has previously allocated $111 billion to support Ukraine, including $67 billion in military procurement funds. Most of this huge amount of money is free aid and does not need to be repaid by Ukraine. However, as social pressure rises, questions have begun to arise as to why these funds are not being used for domestic needs such as health care and education. Although the United States enacted the Lend-Lease Act last year, it has not yet been implemented.
If the United States stops its gratuitous aid to Ukraine, it will be a huge blow to Ukraine, and this hundreds of billions of dollars will be lost in vain. This puts the role of the United States in international affairs to a serious test.
The main motivation behind the United States' support for Ukraine in the past is to support the European Union in the international landscape and weaken the influence of military powers such as Russia, and it is also a warning to China. However, this chess game did not develop according to the plans of the United States.
Russia has successfully moved eastward in the Russia-Ukraine conflict and has carried out extensive economic and trade cooperation with China and India and other countries. Its economy returned to the top 10 in the world in 2022, and the proportion of external debt fell by 10%, the lowest in 20 years. This is an unexpected change for the United States, and it is feeling economic pressure.
Relatively speaking, the debt of the United States has reached $33 trillion, the Federal Reserve has suffered historic losses, and American companies have failed one after another. The fact that interest rates were planned to be cut after inflation reached expectations has left the United States in a fiscal bind.
Faced with support for Ukraine and commitments to Israel, the United States faces a financial dilemma. Even if Treasury bonds are issued again, will investors be willing to buy them if interest rates are not raised?And Russia's joint cut in oil production with OPEC+ oil producers will add another fire to the already pent-up inflation in the United States.
In this dead end, the United States seems to be caught in a dilemma. Expectations for next year's rate cut have become uncertain, and it may end up being a sneaky release of water through the Fed while continuing to raise interest rates. For the anxious United States, how to deal with diplomatic pressure and financial difficulties has become a serious problem before them.
Li Yunfei, founder of a large Internet company and CEO of a large food chain company, has 20 years of experience in the Internet and physical chain industry. His analysis is accurate and profound, and has been reported by well-known ** many times. In this turbulent time, insight into the international economic landscape has become the focus of social attention.