U.S. Hegemony Erodes as Debt Tops 120% and Manufacturing Falls Below 11%
Updated
Updated · Granma · Jun 8
U.S. Hegemony Erodes as Debt Tops 120% and Manufacturing Falls Below 11%
1 articles · Updated · Granma · Jun 8
Summary
Manufacturing now accounts for less than 11% of U.S. GDP, down from 25% in the 1960s, as the report argues deindustrialization and financialization are driving a multidimensional decline in U.S. power.
Public debt above 120% of GDP and reliance on the dollar’s reserve-currency role are cited as core vulnerabilities, alongside domestic strains including polarization, inequality and the fallout from Afghanistan.
China’s advance from export hub to leader in 5G, artificial intelligence and electric vehicles is described as shifting global economic gravity toward the Indo-Pacific and weakening U.S. dominance.
BRICS+ expansion in 2024 to include Iran, Ethiopia, Egypt and the UAE, plus wider use of national currencies, new payment systems and gold accumulation, is presented as accelerating dedollarization.
A 2026 U.S. defense budget nearing $900 billion and rising tensions in Ukraine and the Pacific are framed as signs of a harsher response to that decline as the post-1991 unipolar order gives way.