Expectations of Biden’s visit to Saudi Arabia to cut US gasoline prices ‘unrealistic’
Chicago: President Joe Biden’s expectation of lowering US gasoline prices with his impending visit to Saudi Arabia is unrealistic because energy costs are driven by global market and political variables, experts say.
Gas prices at the pump have more than doubled in the past four months, crippling the US economy, and hurting Biden, who faces losing control of both the US House and Senate in the November 8 midterm elections. Huh.
David Schenker, former Assistant Secretary of State for Near East Affairs and Saudi analyst and researcher Salman al-Ansari, both said that while increasing oil production, many expected, would not reduce costs due to industry limitations on refining capacity and European land. Political factors.
“When President Biden came to office, gas was $2 a gallon. It’s now $5 a gallon on the East Coast. What he really wants is Saudi Arabia and other Gulf allies, the United Arab Emirates, Kuwait and others, (including) Increase production to bring down Qatar oil price. There are limits in terms of capacity, buoyancy and production. But actually there are some problems with our refining capacity. This is top of their agenda,” Schenker said.
“I think you get a few hundred thousand barrels more, maybe 150. But even if you get a million barrels or 2 million barrels in the market, I think it’s important for American consumers to know, it’s not a lot. Maybe we make a difference because that oil isn’t coming to us. It’s going to the global market. If you listen to Saudi, and what I heard when I was in Riyadh and Dharan, I went to Saudi a month and a half ago. Went to Aramco on my last trip to Aramco, they tell you…we can do a little more but production is not the problem. The problem is refining capacity.”
Al-Ansari agreed, saying: “Some people think Saudi produces more oil, et cetera, but I don’t think it will happen in a dramatic way because Saudi Arabia is committed to the OPEC+ agreements.”
“And we must not forget that the issue of high energy prices is not related to the lack of oil supply, but to the effects of geopolitical tensions in Europe and the fact that Russia produces 30 percent of Europe’s oil and 40 percent of its gas demand.” supplies.”
Schenker said Biden is hoping to “reset” ties with Saudi Arabia, which he harshly criticized during his campaign and the first 18 months of his presidency.
“Biden is also trying to re-establish ties with Saudi Arabia. (There) was basically a deliberate deterioration of relations with Saudi Arabia,” Schenker said.
Al-Ansari pointed out that Saudi-US relations have been productive for both countries since they began 76 years ago during a meeting between President Franklin Delano Roosevelt and King Abdul Aziz ibn Saud.
“This relationship has been around for more than 76 years, or almost eight decades. I will quote Secretary of State Mr. Blinken and he said that the US-Saudi Arabia relationship is more important and bigger than anyone. I understand that both sides understand the importance of this mutual and beneficial relationship. Saudi Arabia is considered the largest trading partner for the United States in the Middle East,” Al-Ansari said.
“When it comes to Saudi Arabia, the United States is considered to be the second[largest trading partner]. And also to the United States globally, Saudi Arabia is considered[its]number 12 largest trading partner. So, we’re talking about a very important relationship. Let’s not forget the fact that Saudi Arabia is the center and heart of the Arab world and the Muslim world. You’re basically talking about Saudi Arabia without including Saudi Arabia. Or Muslims cannot solve any issue in the world, and Saudi Arabia has been involved since the beginning of the relationship.”
Al-Ansari said that Saudi Arabia has been a reliable partner for the US and the West not only in the face of dramatic fluctuations in oil prices but also in the face of rising extremism.
“There are really three pillars of the Saudi-US Initiative and the Saudi-US partnership that have happened throughout history. The first was selling oil to the United States at cheap prices and it is very necessary and important for America to become what it is,” said Al-Ansari.
“And the other was to thwart Marxist, socialist, communist theory in the Middle East and globally. And Saudi Arabia worked with the United States to combat communism. And the third pillar was to counter terrorism. And let’s not forget the fact that Saudi Arabia has been the biggest victim and was at the receiving end of most terrorist attacks by Al-Qaeda and ISIS. Saudi Arabia received more than 60 terrorist attacks from Al-Qaeda and more than 35 terrorist attacks from Daesh, ISIS; And Saudi Arabia worked with the United States to eradicate ISIS and al-Qaeda, also in Yemen and from many different places such as Iraq and Syria.
During radio interviews, Schenker and al-Ansari both said that facing Iran is a major issue that Biden will have to address. He also said he did not expect any major breakthrough on the Palestine-Israeli standoff.
The Ray Hanania Show is broadcast live every Wednesday at 5 p.m. Eastern EST on WNZK AM 690 Radio in Greater Detroit, including parts of Ohio, and WDMV AM 700 Radio in Washington DC, including parts of Virginia and Maryland. The show re-airs on Thursdays at 7 a.m. on WNZK AM 690 in Detroit and at 12 p.m. on WNWI AM 1080 in Chicago.
You can listen to the podcast of the radio show by visiting ArabNews.com/rayradioshow,