U.S. Treasury Secretary Janet Yellen, in the wake of Russia’s invasion of Ukraine, has been championing a price cap on Russian oil in a bid to avert a price spike that could prompt a recession.
U.S. President Joe Biden proclaimed his recent Middle East trip a success and touted recent reductions in both oil and gas prices on his return to Washington.
Biden came to Saudi Arabia hoping to reach a deal on oil production to help drive down gasoline prices that are driving inflation above 40-year highs and threatening his approval ratings.
U.S. President Joe Biden tours the Middle East to discuss wide-ranging issues from security and U.S. support of Israel as well as a two-state solution to clean energy issues in Saudi Arabia.
“The decision to increase oil production is subject to several factors and considerations and does not depend on a U.S. request,” Abdulaziz Sager, chairman of the Riyadh-based Gulf Research Center, said.
Ahead of Biden’s visit to Saudi Arabia, API reiterates its 10-point plan of policy issues Washington “should enact immediately to lower prices and secure American energy security going forward,” CEO Mike Sommers said.
Oil prices have tumbled in the past two weeks on recession concerns despite a drop in crude and refined products exports from Russia amid Western sanctions and supply disruption in Libya.
President Joe Biden will make a stop in Saudi Arabia this week, pushing energy policy into the spotlight as the U.S. and other countries face soaring fuel prices that are driving up inflation.
Russia last month cited the delayed return of the turbine as the reason behind its reduction of flows to 40% of capacity through the Nord Stream 1 gas pipeline to Germany.