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THE 13 OPEC member countries plus 10 other oil-producing countries including Russia (referred to collectively as OPEC+) announced in Vienna, on Oct. 5, a sharp cut of output by two million barrels per day, which equals around two percent of global supply.
The announcement immediately caused shockwaves across the entire globe. The decision was roundly condemned in Washington, which believed it had achieved an understanding over this issue during the July meeting between President Joe Biden and Saudi Crown Prince Mohammed bin Salman and that Saudi Arabia would boost oil production to bring down global oil prices. It has become evident, however, that Biden's trip has not produced the desired outcome and just confirmed the assumptions of those who criticized his meeting with the Saudi de facto ruler.
U.S.-SAUDI DIVERGING INTERESTS
The Biden administration immediately accused Saudi Arabia of supporting Russia by increasing its oil profits and lowering the impact of the sanctions, but the Kingdom as well as OPEC members dismissed the accusations. Suhail al Mazroui, the energy minister of the United Arab Emirates, said that the decision is "technical, not political," and Haitham al Ghais, the secretarygeneral of OPEC, insisted that OPEC+ is working to provide "security [and] stability to the energy markets."
Despite sporadic attempts to fix the deteriorating relations (such as Biden's July visit), numerous frictions have accumulated over the years between Washington and Riyadh over such issues as the war in Yemen, foreign policy, pricing of oil in the Chinese yuan, energy prices and the assassination of journalist Jamal Khashoggi.
In the words of Joseph A. Kéchichian, a prominent expert on Saudi-U.S. relations and a senior fellow at the King Faisal Center for Research and Islamic Studies in Riyadh, "beyond any misunderstandings that may exist between Saudi Arabia and the United States over the October OPEC+ decisions, there is a desire on the part of the Kingdom not to be taken for granted." Although Washington is the senior partner in this relationship, he explained that "Riyadh is no longer interested in playing a third fiddle, and would very much like to be taken far more seriously than the United States is willing to grant." This is the crux...