USA and China went against OPEC and Russia

White House: US uses 50 million barrels of oil from strategic reserves

The United States uses 50 million barrels of oil from strategic reserves, White said House. Other large oil consumers – Great Britain, South Korea, Japan, as well as China and India – will take the same step. The statement notes that the countries have decided to take action thanks to the diplomatic efforts of Washington.

‚ÄúThis decision crowns weeks of consultations with countries around the world, and we already see the impact of this work on oil prices. In recent weeks, when it became known about the work being carried out, oil prices have already dropped by ten percent, “the statement says.

This is an unprecedented attempt to contain the rise in oil prices, which could provoke a backlash from parties to OPEC +, writes Bloomberg. The decision by the United States and its allies on reserves comes after the Organization of the Petroleum Exporting Countries and its partners opposed calls for a significant increase in production, and becomes a challenge for the positions of Saudi Arabia, Russia and other representatives of OPEC + in the oil market.

< p> The fact that US President Joe Biden persuaded some countries of the world to follow the example of his administration and use their own strategic oil reserves to reduce prices in global markets, Bloomberg learned on the eve of November 22. It was assumed that the United States will use the reserves of the national strategic reserve, created in 1973 after the global energy crisis. The White House said in a statement that price cuts are necessary due to the high cost of fuel for American consumers.

Comments

comments

Leave a Reply