BIDEN ‘REVIEWING’ TIES WITH SAUDI ARABIA AMID ANGER OVER OIL CUTS

Wed 12 October 2022: 

Riyadh says oil production curbs are ‘purely economic’ as critics in Washington accuse it of empowering Moscow.

Washington, DC – The Biden administration has said it will “re-evaluate” ties with Saudi Arabia as United States lawmakers grow increasingly critical of the Gulf kingdom following a decision by a group of major oil producers, including Riyadh, to cut petroleum output.

US Department of State spokesperson Ned Price said on Tuesday that the US is “reviewing” its relationship with Saudi Arabia in consultation with lawmakers in Washington and allies abroad.

“We are reviewing where we are; we’ll be watching very closely, talking to partners and stakeholders,” Price told reporters.

He added that President Joe Biden had previously spoken of the need to “recalibrate” ties with Saudi Arabia to better serve the US – a position that Price said was underscored by the recently announced oil cuts.

“Our guiding principle will be to see to it that we have a relationship that serves our interests. This is not a bilateral relationship that has always served our interests,” Price said.

OPEC+, which brings together the Organization of the Petroleum Exporting Countries (OPEC) and other producers, namely Russia, announced the curbs last week in a move that will likely push up petrol prices for US consumers ahead of crucial midterm elections.

OPEC’s critics have argued that the production curbs raise oil prices globally, which generates more revenue for Russia to continue to fund its war in Ukraine despite Western sanctions on its economy.

On Tuesday, Price accused OPEC of supporting the war in Ukraine “against the interests of the American people”.

Saudi Arabia has stressed that the October 5 decision to reduce production by two million barrels per day is aimed at stablising the oil market – not driving up prices – amid interest rates hikes by central banks and the prospects of a global recession.

Nevertheless, leading US Democrats have slammed OPEC+ members over the decision, particularly Saudi Arabia and the United Arab Emirates (UAE), US allies and key players in the group.

White House National Security Council spokesperson John Kirby also told CNN earlier in the day that Biden is “willing” to reassess ties with Riyadh.

“And certainly in light of the OPEC decision, I think that’s where he is, and he’s willing to work with Congress to think through what that relationship ought to look like going forward,” Kirby said.

Saudi Foreign Minister Faisal bin Farhan Al Saud told Al Arabiya on Tuesday that the decision by OPEC+ was a “purely economic” measure taken with the unanimous agreement of the group’s members.

Bin Farhan also lauded ties between the US and Saudi Arabia as “strategic”.

“Military cooperation between Riyadh and Washington serves the interests of both countries and has contributed to stability in the region,” he said, as reported on the news outlet’s Arabic website.