Click here to see over 150 global oil prices
Start trading CFDs on over 2200 more instruments
Click here to see over 150 global oil prices
Click here to see over 150 global oil prices
Start trading CFDs on over 2200 more instruments
Click here to see over 150 global oil prices
Click here to see over 150 global oil prices
Start trading CFDs on over 2200 more instruments
Click here to see over 150 global oil prices
Click here to see over 150 global oil prices
Start trading CFDs on over 2200 more instruments
Click here to see over 150 global oil prices
More Information
Three weeks ago, President Joe Biden threatened Saudi Arabia with “consequences” after the kingdom, which is OPEC’s de facto head, subsidized a resolution to cut oil production by about 1 million barrels per day.
U. S. President The U. S. was so agitated because the U. S. midterm elections were approaching. In the U. S. , his score and that of his government were falling and fuel costs were rising.
He never specified what the consequences would be, but other voices joined the criticism of Saudi Arabia for not taking the appearance of the United States as its own: the Saudis have continuously explained that the resolution to cut production was a measure of anticipation in the face of the evolution of inflation.
While media commentators pour thousands of words on whether the US-Saudi relationship is irreparable, others side with the Saudis and criticize the US at a time when the US seeks to bolster its strategy of isolation and that of the EU in opposition to Russia. . outside the West.
Turkish Foreign Minister Mevlut Cavusoglu, for example, Biden’s habit towards Riyadh’s “bullying,” as quoted in a Bloomberg article detailing the shift in geopolitical alignment.
Forward-thinking top commentators are already warning that if Saudi Arabia joins the BRICS, it will change the balance of forces in the world. But Saudi Arabia is not alone before joining the BRICS. Turkey is being some other likely top candidate, as is the United Arab Emirates, OPEC’s third-largest oil producer, along with more than a dozen other countries. Related: Exxon Mobil makes first oil discovery in Angola in 20 years
Turkey is not alone in opposing U. S. policy toward the Saudis. China has unabashedly praised Riyadh for its stance toward Washington, but this is not unexpected given China’s own differences with the United States. What’s interesting, however, is that China is praising a move aimed at making oil more expensive, which is no cause for joy in an oil importer as giant as China.
The same is true for Turquie. La Turkey is a primary energy importer and recently struck a deal with Russia for a new regional fuel hub. Like China, it deserves to be dissatisfied with the emerging costs of oil, but supports Saudi Arabia’s resolve to stay. higher costs. Apparently, there are things that are more vital than the prompt oil bill. And those things are collectively known as geopolitics.
Earlier this month, U. S. Treasury Secretary said she was not in charge of the U. S. U. S. Secretary of State Janet Yellen told the media that a cap on the value of Russian oil would benefit India and China by making oil more affordable for them. In fact, according to plans, this will be the case. Neither China nor India, however, have backed down from their resolve to continue loading oil from Russia directly and without value caps.
A few days ago, Yellen said India is willing to keep loading Russian crude outside the price cap formula as long as it avoids Western insurance and tankers. Some have pointed to this as a demonstration of political arrogance, but it might well be noted as a white flag flying through a party that can do nothing to convince another party to do what the first party wants.
Indonesia is Southeast Asia’s largest economy and is lately negotiating a $15 billion transition of power deal with the United States and Japan. However, he is willing to pursue an independent foreign policy, with everyone opposing one superpower opposed to another.
This turns out to be a trend, and nowhere is it clearer than in official Saudi rhetoric. “Ultimately, we will follow a path based only on our interests and the values we bring to our paintings in the world,” the crown prince said. Mohammed was quoted as saying via Bloomberg earlier this month. It doesn’t get any easier than that.
Even easier is the sign that Riyadh is in a position to continue racing with the United States where it also has no unusual interests. The newest to check this is Saudi Foreign Minister Adel Al-Jubeir.
This week, he said, quoted via Bloomberg, we had a war of words over oil. We have our position and we know that our position is correct. Some in the U. S. The U. S. is taking a different approach, but we can triumph over that. .
So, a realignment is taking place in some parts of the world, but the realignment doesn’t seem to be along the lines of “You’re either with me or you’re opposed to me. “This sounds more like an understanding that a state’s national interests don’t want to be sacrificed for geopolitical alignments. They may simply complement them. The faster Biden’s leadership accepts this, the lower the threat to its own position in a changing geopolitical landscape.
By Irina Slav for Oilprice. com
More in Oilprice. com:
Back to home page