US knew about OPEC+ oil production cut in advance: Kirby
4 Min Read
The United States alleges that it knew about OPEC's oil production cut before it took place despite statements suggesting otherwise.
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The logo of the Organization of the Petroleum Exporting Countries (OPEC) is seen outside of OPEC's headquarters in Vienna, Austria, on March 3, 2022 (AP)
The White House was informed in advance of OPEC+’s decision to cut oil production over the weekend, National Security Council Coordinator for Strategic Communications John Kirby said on Monday.
“As for a heads up, yes, we were given a heads up,” Kirby told a press briefing.
Saudi energy minister announced Sunday that Saudi Arabia will be cutting down oil production at a rate of 500,000 barrels per day until the end of 2023, for the sake of stabilizing the oil market.
Russia reciprocated the decision and announced a downplay of oil production at the same rate.
Iraq, UAE, Algeria, Kuwait, and Oman will be reportedly following suit to voluntarily cut down on oil production.
Russia said it would cut down oil production by 500,000 barrels per day (bpd), Iraq by 211,000 bpd, the UAE by 144,000 bpd, Algeria by 48,000 bpd, Kuwait by 128,000 bpd, and Oman by 40,000 bpd.
Russia announced within minutes of Saudi Arabia, Kuwait, Oman, Iraq, and the United Arab Emirates' declarations.
"We don't think cuts are advisable at this moment given market uncertainty—and we've made that clear," a spokesman for the US National Security Council commented on the OPEC+ production cuts, Reuters reported.
Read more: Oil prices fell sharply after reports of UAE mulling OPEC withdrawal
Back in November, citing economic challenges such as high inflation and interest rate increases, OPEC cut its forecast for 2022 global oil demand growth - cutting down next year’s figure as well.
"The world economy has entered a period of significant uncertainty and rising challenges in the fourth quarter of 2022," OPEC said in November in a report it published following the energy crisis which followed the war in Ukraine. The report also pointed out that oil demand in 2022 will rise by 2.55 million barrels per day, amounting to a 2.6% increase.
Read more: OPEC cuts down production target for fifth time since April
Biden administration keeping close eye on Trump
The White House is watching the situation around former US President Donald Trump "closely" ahead of his initial court appearance scheduled for Tuesday, Kirby underlined.
"We are watching this closely, as you might expect that we would and should. We are in touch with the state and local authorities as we should be, and we are monitoring as closely as we can," Kirby told a press briefing.
The Manhattan District Attorney Alvin Bragg is currently investigating Trump for a $130,000 hush-money payment to adult film star Stormy Daniels in 2016. According to the New York Times, the investigative invitation of Trump by Bragg could mean the first-ever indictment of a former US President with a criminal charge.
Trump announced on Friday that he would appeal a grand jury indictment against him in Manhattan, claiming that the officials involved in the case are biased. The Trump indictment is becoming a symbol of a rift between the Democrats and Republicans in the US, especially in public opinion.
Axios reported earlier that Trump has the support of 37 House Republicans, including nine of the 25 Republicans on the House Judiciary Committee and 11 of the 26 Republicans on the House Oversight Committee, which could significantly boost Trump's 2024 presidential campaign.
The indictment is certain to cast a shadow over Trump's 2024 presidential candidacy and opens the door to several possibilities. He may have to run for President while facing a criminal trial if he enters a not-guilty plea and the matter proceeds to trial, which can take several months. However, if he were to win a second term while being sentenced to prison or already serving one, several constitutional problems would arise.
