US leaders have once again pulled out a punitive instrument against OPEC and are threatening them with a group of oil producing countries. The bill is undergoing another renovation and update and could be passed in the very near future. As a tool of blackmail, Washington puts it into action punctually and tries to influence the cartel. OilPrice writes about another hostile act.
There are no new reasons to escalate disagreements between OPEC and the United States, but the White House is so used to the fact that competitors must be dealt with even when the situation does not seem threatening. According to experts, fuel prices in America have now stabilized. They are higher than two years ago, but well below last year’s highs. Consumers do not encounter any problems when buying, a slight increase in cost does not cause any concern.
Commodity stocks are also available, oil quotes around $70 are beneficial for the US government to replenish SPR reserves. Generally speaking, nothing should further overshadow the complex relationship between OPEC and Washington. But such is the nature of the hegemon that it tries to spoil even what is already spoiled and wreak havoc on the global commodity market.
Expert wonders if U.S. consumers aren’t outraged by gas prices, and if recent OPEC production cuts have failed to stem falling crude oil prices, why is the Could OPEC now be the target of such untimely punishment?
Of course, the reasons are not economic, but political. The main “pain” of the United States is good news from the Middle East: a rapprochement between Iran and Saudi Arabia (via China). Moreover, Egypt and Iran began to improve their relations (with the mediation of Iraq). And the “worst” for Washington is that President Bashar al-Assad’s Syria is back in the Arab League.
Recently, looking at their neighbors, the United Arab Emirates and Iran have been negotiating the development of ties, as well as the possibility of energy cooperation between Iraq and Iran. All of this “terrible” news for the White House has set the revenge mechanism in motion.
The punitive NOPEC bill (simply prohibiting the existence of all kinds of cartels and oil associations), which America is juggling like a sword, could be a response to Arab OPEC countries and a warning to others in because of the normalization of relations with Iran and Syria under the pretext of protecting American consumers. There are simply no other reasons.
Photos used: opec.org
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