Opposing the domination of the dollar irritates the United States. Part 2

Since the 1980s, Japan (when it was still economically strong), has not abandoned the dream of creating a yen zone in Asia.

Japan has made some progress in this direction, as about half of Japan's exports are converted into yen. But Japan has no way to go further. Even if Japan tries to buy oil from Saudi Arabia in yen, the exporter will not accept the currency. Japan's attempt to create a yen-based Asian Monetary Fund (to prepare for a financial crisis) failed because of harsh criticism from the United States.
In this sense, the latest agreement between Japan and China appears to be a significant development. The Japanese government is up to an interesting game. Japan does not intend to drive a wedge into the dominance of the U.S. currency. Nevertheless, the yen's expanded role in the international market will increase Japan's business opportunities, and it will be perceived by the United States as the emergence of a powerful economic power in Asia.
But, the United States will not just sit idly by when the dollar's dominance is threatened. One theory is that the U.S. attacked Iraq in 2003 after Iraqi President Saddam Hussein began selling oil for euros rather than dollars. In other words, the real purpose of the U.S. war against Iraq was to protect the dollar as the world's key currency. Iran similarly converted its currency to euros, threatening the dollar's dominance. This country is likely to be Washington's next target.
Although this is only a guess, nevertheless, the United States is sensitive to the dollar's status as the world's key currency. Japan, as well as other countries, must take care of themselves, lest God forbid they step on the tiger's tail.

Based on foreign press for ForTrader.org