President-elect Donald Trump has announced plans to create “complete American energy independence” and ban Saudi Arabian oil from the U.S. market – and the Saudis have begun to panic.
During his campaign Trump vowed to secure U.S. energy independence from “our foes and the oil cartels,” and predictably the Saudis, major donors to the Clinton campaign, aren’t happy with the way things are going.
On Wednesday Saudi oil minister Khalid Al-Falih warned Trump that banning Saudi oil could “seriously damage” the U.S. economy. “At his heart President-elect Trump will see the benefits and I think the oil industry will also be advising him accordingly that blocking trade in any product is not healthy,” Saudi Energy Minister and Aramco chairman Khalid Al-Falih told the Financial Times.
But the Saudi energy minister’s threats of serious damage to the American economy don’t add up. When it comes to oil production in 2016, the U.S. is right behind Saudi Arabia. There is simply no need for the U.S. to import oil and prop up a repressive regime that was exposed by WikiLeaks as providers of “financial and logistical support” for ISIS.
Major oil and gas discovery in Texas.
