Chapter 1102 - Earth Defense Alliance (2/2)

For most people, they were fearful not because of the unseen extraterrestrial civilization but because of the chaos before the darkness If the whole world was united, Earth’s civilization would have a fighting chance Although still young and weak, the establishht hope

A Chen read out the list of me to the “Coro City Agreened the previous day, the major members of the Earth Defense Alliance were Xin, Hua, Russia, and Frankberg The secondaryPakistan, Moro, Malay and so on

Based on the consensus, theto their territorial size and population size, and the secondary member states would contribute 3-4 of GDP All contributions would fund the developation wasn’t without reward—although they had joined the Earth Defense Alliance to protect theht

In the Coro City Agreement, Celestial Trade promised to member states that its space resources would be tilted toward reement also stipulated that the Earth Defense Alliance would impose a 50 defense tax on all non-member states in outer space resources development The money would be collected by Celestial Trade and used to establish an Earth Defense Fund The purpose of the fund was to establish extraterrestrial fortifications and build a fleet and other defensive measures

Since this was for the common interests of all people, everyone had to contribute so to put in the effort, then it was fair to pay some money

When this measure was released, it suddenly caused an earthquake, especially in the financial world The aerospace coed

The prospects of aerospace cos that took a heavy blow With light and heavy industrial raw ly dependent on outer space resources, pessian to spread fro industries

What was the concept of the 50 defense tax?

Taking iron ores as an example, as of July 1, 2019, thanks to the increase in the capacity of the space elevator, the industry-standard ore was quoted a price of 58 New Xin dollars per ton Before the introduction of the defense tax, the UA could import iron ore from Xin at a price of 45 New Xin dollars per ton, but after the introduction of the defense tax, their cost skyrocketed to 675 New Xin dollars

What’s more, the price of 675 New Xin dollars was still lower than the production cost of 76 US dollars per ton quoted by the foriant, Vale In other words, no countries would be able to find a substitute at the same price!

It was impossible to underestimate the difference of 225 New Xin dollars

Steel was the foundation of industry, and fluctuations in co If the global price experienced volatility, the effects e rate But if this price volatility was confined to a certain part of the country, then the impact couldn’t be underestioods would be 225 Xin New dollars more expensive if produced elsewhere

Not only iron ore but all metal minerals from iron ore to rare earth metals were impacted Non-Earth Defense Alliance members would be forced to accept this “unequal treaty” Unless they wanted to stop using the space elevator, they had to accept the 50 tax

It was foreseeable that with gradual expansion in space resource development in the future, the defense tax would be an unavoidable burden on non- run, the market competitiveness of the Earth Defense Alliance n exchange in the global economy would exhibit a trend where the Xin New dollars would strengthen against other currencies

For Wall Street, no news could be worse than this new reality