The US has no intention to stand aside from the issue of lower oil production. The country decided to respond to the OPEC+ leading producers of oil. Joe Biden supposes that oil interventions and conscious consumption could be considered reasonable retaliatory measures to the reduction of oil output by OPEC+.
At a recent meeting, the OPEC+ countries decided on the largest cut of oil output since the coronavirus outbreak. Oil production will be lowered by 2 million barrels a day. The news not only boosted oil prices but also spurred an immediate reaction from the US. To avoid a deficit, Joe Biden announced oil interventions and ordered to release strategic reserves. "The president is disappointed by the shortsighted decision by OPEC+ to cut production quotas,” the White House said in a statement from national security adviser Jake Sullivan and National Economic Council Director Brian Deese. The US president also stated that his team would help the global economy to cope with “continued negative impact”. President Biden directed the Department of Energy to release another 10 million oil barrels from the country's Strategic Petroleum Reserve next month.
Notably, this spring, Joe Biden announced a sell-off of 180 million barrels to cap oil prices. As a result, the quote dropped to $90 per barrel from its multiyear highs. Russian Deputy Prime Minister Alexander Novak, who also participated in the OPEC+ meeting, explained the decision to cut oil output by a gloomier outlook for the global economy and producers’ intention to stabilize supply before a seasonal drop in demand.
