Chinese Refiner Halts US Oil Purchases, May Use Iran Instead
With the US and China contemplating their next moves in what is now officially a trade war, a parallel narrative is developing in the world of energy where Asian oil refiners are racing to secure crude supplies in anticipation of an escalating trade war between the US and China, even as Trump demands all US allies cut Iran oil exports to zero by November 4 following sanctions aimed at shutting the country out of oil markets.
Concerned that the situation will deteriorate before it gets better, Asian refiners are moving swiftly to secure supplies with South Korea leading the way. Under pressure from Washington, Seoul has already halted all orders of Iranian oil, according to sources, even as it braces from spillover effects from the U.S.-China tit-for-tat on trade.
See Also: (Dahboo77) – Why The Coming Oil Crunch Could Shock The World
Here’s why I’m harping so much on strategy: the US is operating without a viable one.
We neither have a compelling Vision of where we want to go, nor any sense of the Resources required to change with the many transitions underway around us.
The current ‘strategy’ (if we can be so generous as to call it that), is nothing more than “business-as-usual” (BAU).
The US is assuming it is always going to have more cars and trucks on the road this year than last year, more goods sold, a larger economy, more jobs, and the world’s most powerful military. That’s the BAU model. And it has largely worked for the past century.
But it can’t work going forward. And the longer we pursue it, the more of our future prosperity we ruin.
Why? Because the future of everything is dependent on energy. More specifically: net energy.
Having a powerful military consumes a tremendous annual quantity of energy. The US military eats up 100 million barrels of oil each year. By itself, America’s Department of Defense is the 34th largest consumer of oil in the world.