148: Chapter 148 The Desert Royal Family's Choice

Washington, State Department Briefing Room, December 20, 15:00 (Washington time).

There were over thirty people sitting in the briefing room: Assistant Secretary of State for Near Eastern Affairs David Schenker, Secretary of Defense James Mattis, Chief of the CIA's Middle East Division Robert Green, representatives from the National Security Council, as well as officials from the Pentagon, the Treasury Department, and the Department of Commerce.

David Schenker was just over fifty, his eyes behind gold-rimmed glasses full of confidence. He pointed his laser pointer at the map of Saudi Arabia on the screen: "Ladies and gentlemen, there is no need to be overly concerned. Saudi Arabia would not dare to completely break with us. Their entire national defense system relies on us—the F-15 fleet needs our parts, the Patriot missiles need our software upgrades, and even their Royal Guard uses the training manuals we provide."

He switched the slide: "More importantly, the royal family has a massive amount of assets in the United States. According to Treasury Department data, the Saudi royal family and sovereign wealth funds have over $800 billion in assets in the U.S. Are they willing to part with that money?"

"But they have already started transferring them." The Treasury representative interjected, "Over the past six months, Saudi Arabia has withdrawn over $30 billion from the U.S., diverting it to Hong Kong, Singapore, and London. Furthermore, the scale of their oil rmb settlements with Huaxia is expanding."

"That's just a bargaining chip." Schenker dismissed it, "The rmb is not yet an international currency, and Huaxia cannot provide U.S.-level security commitments. The Saudis are very shrewd; they know who their real backer is."

Robert Green, Chief of the CIA's Middle East Division, cleared his throat, his voice low: "David, I have some intelligence here that might make you want to re-evaluate."

He pulled up a blurry satellite image taken in the eastern Saudi desert: "Last week, Saudi Arabia secretly test-fired the extended-range version of the H1 rocket artillery provided by Spark-Arab Defense Company, with a range of 350 kilometers. The accuracy is extremely high, capable of covering Persia's Natanz nuclear facility, the Fordow fuel enrichment plant, and even the nuclear research center in Isfahan."

The room went quiet.

"What's more troublesome," Green continued, "is that the test-fire was operated entirely by Saudi soldiers, with Spark-Arab Defense Company only providing technical guidance. This means they didn't just buy the weapons; they learned how to use them. And this system is completely independent of our GPS, using Beidou navigation instead."

Secretary of Defense Mattis—a retired Marine Corps general known for being tough and pragmatic—finally spoke: "A range of 350 kilometers... This number exceeds the limits set by the Missile Technology Control Regime (MTCR) for rocket artillery. Spark-Arab Defense Company is openly challenging international rules."

"Rules?" Green gave a bitter smile, "Mr. Secretary, Spark-Arab Defense Company never intended to follow the rules we set from the very beginning. Their 'wasp m2' drone swarms are priced at only $25,000 each; they've turned high-end weapons into consumables. Traditional arms dealers simply cannot compete."

"And there's this." He pulled up another report, "A portion of the proceeds from Saudi Arabia's oil rmb settlements, about $20 billion, is being converted into military industrial investment through Spark-Arab Defense Company channels. The specific path is: rmb revenue goes into a Spark-Arab Defense Company-Saudi joint venture, the company purchases technology and equipment from Spark-Arab Defense Company, builds factories in Saudi Arabia, produces weapons, and then sells them to other countries—the entire cycle completely bypasses the U.S. dollar."

This statement caused everyone's expression to change.

U.S. dollar-oil-arms—this is the trinity pillar of U.S. global hegemony. Oil transactions are settled in U.S. dollars; after oil-producing countries receive the dollars, they buy U.S. Treasury bonds and U.S.-made weapons; the dollars flow back to the United States, supporting the U.S. fiscal and military-industrial complex.

But now, Saudi Arabia is breaking this cycle: oil is settled in rmb, the rmb is used to purchase Huaxia technology, technology becomes weapons, and weapons are sold to other countries to earn more rmb...

"This is a closed loop." The National Security Council representative muttered, "A de-dollarized military-economic closed loop."

Schenker finally realized the severity of the problem: "So the Saudis aren't bluffing, they are serious?"

"Very serious." Green nodded, "Our informants report that Crown Prince Mohammed bin Salman has already said in an internal meeting: 'This is a once-in-a-century opportunity to break free from dependency.' They are tired of being treated as our ATM and gas station."

Mattis stood up and walked to the window. The sunset was descending across the Potomac River, gilding the Washington Monument.

"Tell the Pentagon." He turned around, "Prepare for a full pivot by Saudi Arabia. Re-evaluate our military presence in the Middle East, especially the bases in Qatar, the UAE, and Bahrain. If Saudi Arabia really leans toward Huaxia, we need new fulcrums."

"Then the THAAD anti-missile system order..." Schenker asked.

"It's highly likely to fall through." Mattis said bluntly, "But that's not the worst part. The worst part is that Saudi Arabia might spread the weapons from Spark-Arab Defense Company to the entire Middle East—Egypt, Jordan, the UAE, and even Syria. If the entire Arab world uses weapons systems from Spark-Arab Defense Company, our influence in the Middle East will experience a cliff-like drop."

He paused: "What's even more terrifying is, if Spark-Arab Defense Company replicates this model in Africa, South America, and Southeast Asia... Gentlemen, we are not just facing a company; we are facing the prototype of a new international order."

The room fell silent.

Outside the window, the lights were coming on, and the night in Washington was still brilliant. But in this room, everyone felt an unprecedented chill: an era that had lasted for seventy years might truly be coming to an end.

Saudi Ministry of Foreign Affairs Global Press Conference, December 21, Morning

The press conference hall, which could hold three hundred people, was packed with reporters, and live broadcast vans from over twenty television stations were parked outside.

At exactly ten o'clock in the morning, Saudi Foreign Minister Al-Jubeir walked onto the podium. He was wearing traditional white robes, but covered by a well-tailored black suit jacket—this was his signature style on international occasions, symbolizing the combination of tradition and modernity.

"Ladies and gentlemen, friends from the media." Al-Jubeir's voice reached everyone's ears through simultaneous interpretation headsets, "Today, on behalf of the Saudi Kingdom government, I issue the following statement."

Flashbulbs went off like a rainstorm.

"First, Saudi Arabia is a sovereign state. According to international law and the UN Charter, sovereign states have the right to independently choose partners and formulate development strategies that align with their national interests."

"Second, we condemn any country that interferes in the internal affairs of other nations through hegemonic means, unilateral sanctions, or long-arm jurisdiction. Such behavior violates the basic norms of international relations, undermines the global trade order, and harms the well-being of people in all countries."

Offstage, a CNN reporter whispered to a colleague: "This is a direct slap in the face to the U.S."

"Third," Al-Jubeir continued, "Spark-Arab Defense Company is an important part of Saudi Arabia's 'Vision 2030' national strategy. Over the past year, this company has created over 30,000 high-quality jobs, trained 5,000 young Saudi engineers, and established Saudi Arabia's first complete drone industrial chain. We will not only continue our cooperation but will fully deepen it."

He paused, scanned the room, and then said the most critical sentence:

"In view of the current situation, the Saudi Kingdom has decided to suspend some arms procurement negotiations with the United States, including the $12 billion THAAD Terminal High Altitude Area Defense system procurement case. We will re-evaluate all defense cooperation projects to ensure they align with Saudi Arabia's highest national interests."

The whole room was in an uproar.

Suspending the THAAD procurement—this was not a commercial decision, but a political declaration. THAAD is not just an anti-missile system, but a symbol of the U.S. military presence in the Middle East and the embodiment of the U.S. security commitment to Saudi Arabia.

Refusing THAAD is equivalent to openly saying: I no longer need your protection.

"Mr. Minister!" An Associated Press reporter raised a hand and shouted, "Does this mean Saudi Arabia is turning toward Huaxia?"

Al-Jubeir smiled and answered cleverly: "Saudi Arabia's foreign policy is comprehensive and multi-layered. We maintain friendly cooperation with all countries. We chose Spark-Arab Defense Company because their technology is advanced, the price is reasonable, and most importantly—they respect our sovereignty, are willing to share technology, and help Saudi Arabia build independent national defense industrial capabilities."

"But the United States has been a Saudi ally for decades..."

"Allies should respect each other." Al-Jubeir interrupted, "Not one side barking orders at the other. Saudi Arabia is willing to continue cooperating with the United States, but it must be an equal partnership."

The press conference lasted for forty-five minutes. Al-Jubeir answered seventeen questions, each answer firm and restrained, both stating his position and leaving room for maneuver.

The moment it ended, global news headlines began to explode:

The Wall Street Journal: Saudi Arabia says "No" to the U.S. for the first time, Middle East landscape undergoes seismic reconstruction

Financial Times: Petrodollar system faces its biggest challenge in 70 years

Huaxia Daily (English Edition): A model for a new type of mutually beneficial international relations

Haaretz: Saudi Arabia gains long-range strike capability, Persia's nuclear facilities within range

Meanwhile, at the Royal Palace in Riyadh, Mohammed bin Salman watched the news on TV and said to Fahd beside him: "Now, the pressure is on us. Spark-Arab Defense Company must deliver on all its promises."

Fahd nodded: "Your Highness, rest assured. Our engineers are already preparing to expand the factory at Jizan Port. In addition, news has come from Chengdu Aircraft Industry Group that the partial technology transfer agreement for the J-20 has entered the final approval stage."

"J-20..." Mohammed bin Salman's eyes flickered, "When can we see a prototype?"

"Within two years." Fahd promised, "And it will be a two-seater version, which can train Saudi pilots. Spark-Arab Defense Company will send a team to participate in our fifth-generation fighter development, and by combining some of the J-20's technology, we expect to complete the prototype in 2020."

Outside the window, the sunlight in Riyadh was intense. A new era was beginning on this ancient desert.