Turkey, Russia will not use dollar for S-400 deal

Turkish President Recep Tayyip Erdogan says Ankara will pay either in ruble or lira for the advanced Russian-built S-400 air defense missile system, regardless of strong opposition from the United States and warnings that Turkey should not buy the anti-aircraft platform.

Speaking to reporters before leaving for G-20 summit in Argentina on Thursday, Erdogan said the final currency composition had yet to be agreed but confirmed he expected the deliveries of the systems to take place in 2019.

“The settlements on S-400 systems must be carried out with the use of national currencies. The transfer of these systems to Turkey should be completed by the end of 2019 after which the provision on the settlements with the use of national currencies, which we have suggested from the very beginning, will be implemented by the efforts of finance ministers and central banks of the two countries,” Turkish-language NTV television news network quoted him as saying.

On Wednesday, Russian President Vladimir Putin said it is impossible to seal the S-400 agreement with Turkey in dollar.

The Russian president said he and Erdogan had agreed on another option.

Putin also criticized the US administration for using the dollar as a pressure tool, stating that Russia and its trade partners are working to create interbank payment systems independent of the Belgian-based SWIFT global payment network.

A number of the US-led North Atlantic Treaty Organization (NATO) member states have criticized Turkey for its planned purchase of S-400 missile defense systems from Russia, stating that the move could jeopardize Ankara's acquisition of F-35 fighter jets.

On July 15, the top American Air Force general in Europe warned that the Turkish government’s plan to purchase Russian S-400 systems would give the advanced air defense shield deep insight into the US radar-evading F-35 fighter jets.

“Anything that an S-400 can do that affords it the ability to better understand a capability like the F-35 is certainly not to the advantage of the coalition,” General Tod Wolters, who is also the NATO Allied Air Commander, said.

Erdogan has emphasized that Ankara would utilize sophisticated S-400 anti-aircraft missile systems if necessary.

“We will not just buy the S-400s and place them in a storehouse. We will use them if need be. These are defense systems. What are we going to do with them if not use these defense systems? Are we going to depend on the United States again? We have been demanding them for years, but the answer given to us has been: The [US] Congress is not allowing. We are tired of this,” he said in remarks broadcast live by private Turkish-language TGRT Haber television news network on June 12.

SS