Turkish President Erdogan, during a visit to Kyrgyzstan on Sunday said that Turkey will pursue non-dollar transactions in trade and investment with other countries and added that the recent U.S sanctions gave the impression that Washington was behaving like “wild wolves”.
“Negotiations between Turkey and Russia are under way on not using American dollars in bilateral trade,” he said at a business forum.
“We need to gradually end the monopoly of the dollar once and for all by using local and national currency among us,” he said.
“America behaves like wild wolves. Don’t believe them,” said Erdogan. “Using the dollar only damages us. We will not give up. We will be victorious.”
“Turkey is resolved to establish economic independence, particularly in its defence industry,” Erdogan said.
Experts say that the escalating row between Ankara and Washington is risky for both countries.
Nick Danforth, a senior policy analyst for the Bipartisian Policy Center’s national security programme wrote in The New York Times, “This willingness [by Erdogan] reflects not only nationalist bravado but also an assumption about the rapid advent of a more multipolar world.”
“He seems to be gambling that Washington has proved more effective in alienating its allies than he has, and that the American-led global order collapses before the Turkish economy does,” he wrote.
The United States has imposed severe restrictions on both Russia and Turkey, in connection to the detention of an American pastor and the nerve agent poisoning of a former Russian spy and his daughter.
U.S President Donald Trump earlier announced new tariffs on Turkish steel and aluminium. U.S officials were accused of “using methods of sanctions, threats, blackmail and diktat” by Russian Foreign Minister Sergey Lavrov.
Ties between Russia and Turkey entered a new domain after Turkey announced an agreement to buy Russia’s most advanced long-range anti-aircraft missile system – S-400.
“Some are disturbed by this S-400 purchase,” Erdogan said and added that Turkey does not need permission from anyone to guard its territory.