Saudi Arabia Gives US the Middle Finger

America’s key ‘ally’ and OPEC reduce production and raise gas prices — will it affect the midterms?

The US relationship with Saudi Arabia has been a cornerstone of Middle East policy for decades. In return for a few military bases and helping counter Iran, Uncle Sam sells Saudi Arabia billions in weapons while turning a blind eye to the 9/11 connections and a level of human rights abuses and war crimes that would make any dictatorial government blush.

But recently, the Saudis have been dancing to their own tune. The American overtures, fist-bumps, and threats don’t seem to have the effect they once did as MBS has shown an independent streak.

The Crown Prince met with Moscow and OPEC+ has decided to cut production by two million barrels a day despite pressure from Washington.

OPEC meets and sets production quotas that have a massive impact on global prices. Its official members are Algeria, Angola, Ecuador, Equatorial Guinea, Gabon, Iran, Iraq, Kuwait, Libya, Nigeria, the Republic of the Congo, Saudi Arabia, the United Arab Emirates, and Venezuela while OPEC+ adds an additional 10 non-member nations, including Kazakhstan, Mexico, and Russia. Together they constitute 55% of the world’s oil production and 90% of its reserves.

It’s literally called a ‘cartel’ and yet another example of how very little in this world is running on the fantasy ‘free market’ principles that many laissez-faire economic fundamentalists champion.

At the beginning of the Ukraine invasion, markets panicked and prices peaked. Western sanctions on Russia added fuel to the fire, but Moscow pivoted away from European customers and toward Asian buyers like India and China. The increase in sales and higher prices more than offset the sanctions and provided a key and consistent revenue stream for the invaders.

Whether it makes sense or not, gas prices are a very tangible political issue in the states. That price per gallon is like the most ubiquitous political billboard lining every freeway, country road, and suburban intersection.

Meanwhile, prices at the pump stateside had been falling, but with this new production cut, they’re expected to climb back up, which will both help the Kremlin earn some cash and could hurt the Democrats in the midterm elections.

Some are calling it MBS’s ‘October surprise’ since he’s shown a preference for Republican administrations — famously not picking up Biden’s phone call in the spring.

Whether it makes sense or not, gas prices are a very tangible political issue in the states. That price per gallon is like the most ubiquitous political billboard lining every freeway, country road, and suburban intersection.

Throughout my entire life, I can remember people complaining about any increases and directly blaming the president.

In response, Biden has ordered ten million barrels to be released from the strategic reserves that the administration hopes will keep short-term prices manageable. They’re also re-entering negotiations with Venezuela in an attempt to increase production.

The White House has also said Saudi Arabia will face ‘consequences’ for seemingly siding with Moscow and throwing a jab this close to the midterms.

Robert Menendez, the Democratic chairman of the Senate foreign relations committee, even threatened to freeze weapons sales and security cooperation, which should have happened decades ago.

Kill a few hundred thousand innocent Yemeni with American weapons? Here are a few billion dollars more. Try to play both sides with Washington and Moscow? That’s crossing the line.

I think it’s another example of America’s waning influence. This isn’t something that would have happened fifteen years ago.

A lot has been written about the possible end of American unipolar domination as countries move away from the USD, implement alternatives to the SWIFT banking system, foreign leaders — even allies — get more openly defiant, and the China-Russia relationship appears stronger than ever.

There are too many fires to put out as Biden’s team of cowboys fly around the world and issue threats that more and more nations are seeing as empty.

And now, a critical strategic partner gives DC the middle finger and helps out ‘the mortal enemy’ while simultaneously stirring the pot in domestic American politics.

We’ll see what the Biden response will be.

And if prices at the pump climb back up and motivate Americans to get out and vote against Team Blue.