White House Calls on OPEC to Increase Oil Production
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The Biden administration called on OPEC and its oil-producing partners to boost production, in an effort to confront the rise in gasoline prices, according to their claim.
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Brent crude fell 0.8% to $70.04 a barrel after the White House announcement.
US National Security Advisor Jake Sullivan criticized major oil producers for the insufficiency of oil productions, claiming it could threaten the global economic recovery from the COVID-19 pandemic.
In his statement, Sullivan said: “At a critical moment in the global recovery, this is simply not enough,” noting that the US is “engaging with relevant OPEC+ members on the importance of competitive markets in setting prices. Competitive energy markets will ensure reliable and stable energy supplies.”
He added, “Higher gasoline costs, if left unchecked, risk harming the ongoing global recovery. OPEC+ must do more to support the recovery.”
The White House directed today the Federal Trade Commission to investigate whether illegal practices were contributing to higher gasoline prices in the US.
The rise in oil prices helped fuel inflation fears, while the international oil benchmark Brent crude is trading at $70.04 a barrel after the White House announcement, down 0.8% percent.
