- cross-posted to:
- hackernews@lemmy.bestiver.se
- cross-posted to:
- hackernews@lemmy.bestiver.se
This ability to turn oil demand on and off, ostensibly at low economic cost, allows the world’s biggest oil importer to move prices just as the Organisation of the Petroleum Exporting Countries (OPEC) and its allies have long done through their control of half of global output. And as the cartel is weakened by the recent departure of the United Arab Emirates and strained production capacity of its remaining Gulf members, China’s market power is growing. As one oil-trading boss puts it, “China is the new OPEC.”
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What China has done in this situation has been very impressive.
Ironic how China is better prepared now than USA, that has had huge oil reserves as a strategic measure even before China was industrialized. Exactly so they could do what China did.
But USA failed because their reserves were pretty low already.Biden and trump both hugely emptied the reserves for short-term gain, without putting very much, if any, back. Like any company that has been bought-out by corporate raiders, the US has ruined its name for short term gain and is now being parted out. The next decade or 3 will be like living in a mining town after the mine leaves it a superfund site, from coast to coast. Perhaps a few large cities will survive with only deep scars.
Maybe this wil finally be tge insentive for europe an america to start using less oil. I think not, but one can hope.
China should get together with Europe and Russia to negotiate with Iran. Talks between the US and Iran have stalled. The war not China is controlling the price of oil. As the world’s biggest oil importer, China should want the war to end.
They can’t do that if the US is blowing up any ship that Iran lets through the strait. They can only negotiate with Iran, not with the US.
Yes, China should get together with Europe and Russia to negotiate with Iran. If a deal is reached, Trump would be pressured to accept especially if countries such as Pakistan, India, and Saudi Arabia like the deal.