US Energy Boom Influences Geopolitical Stability
According to news on Beijing 21st August, 2014, prosperity of shale oil and gas
in North America propels the American crude oil output reaches nearly 9,000 thousand barrels per day. It is thought that American geopolitical strategy pattern of interests has changed which shifts the administrators’ focus to the foreign oil market.
American oil and gas exploitation still stays at an early period of boom. Nevertheless, this is enough to make up the decreasing supply of crude oil in regions with frequent conflicts such as Iraq and Libia. American crude oil price remains stable despite of unceasingly conflicts in the Middle East.
Bank of America Merrill Lynch raised a question in its latest report: Will the steep rise in energy output prevent America from getting involved in external disputes? Will American pursue isolationism and leave a geopolitical vacuum zone after a large scale withdrawal?
Bank of America Merrill Lynch queried American ability on maintaining geopolitical stability. One of its analysts pointed out that, “American military spending accounts for 38% of that of whole world while its appetite for external extension is low. ” Six continents throughout the world are spread with 30 American military posts.
For several decades, American security interests in oil producing countries have been generally defined as protecting energy supply security. It also adopted tough power during this process. This action draws continual comments. Most people blame the conflicts among the Middle East and other areas on oil.
No great changes will take place, according to many experts. Most of analysts and officials believe that America still enjoys great benefits in the turbulent Middle East, although the geopolitical background changed and American dependence on imported oil declines to the lowest level in the past two decades.
Anthony Cordesman, a scholar from the Center for Strategic and International Studies, thinks that this is not a case about American imports. International economy will be greatly influenced if the oil price shot up suddenly. The Gulf Area, however, will not be affected as the current strategic area.
Cordesman also states that, America will import at least 32% oil crude by 2040 according to the base-line forecast of Energy Information Administration.
Therefore, America should insist on maintaining steady supplies of energy in domestic and international market.