• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 2 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 20 hours Could Someone Give Me Insights on the Future of Renewable Energy?
  • 19 hours How Far Have We Really Gotten With Alternative Energy
  • 2 hours e-truck insanity
  • 3 days "What’s In Store For Europe In 2023?" By the CIA (aka RFE/RL as a ruse to deceive readers)
  • 5 days Bankruptcy in the Industry
  • 2 days Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
  • 6 days The United States produced more crude oil than any nation, at any time.
Haley Zaremba

Haley Zaremba

Haley Zaremba is a writer and journalist based in Mexico City. She has extensive experience writing and editing environmental features, travel pieces, local news in the…

More Info

Premium Content

Why The Middle East Will Be Vital In Any U.S.-China Conflict

  • As tensions between the U.S. and China continue to escalate, the importance of the Middle East for these two superpowers is only growing.
  • China is heavily dependent on energy imports from the Middle East and has struggled in recent years to keep up with its rising energy demand.
  • While much has been made of the U.S.’ waning influence in the region, it retains a significant footprint throughout the Middle East and multiple key allies.
Middle East

If the United States and China ever enter into conflict, one of the key battlegrounds could be the Middle East. China has been busily trying to shore up its energy security and diversify its energy portfolio around the world, but the country remains heavily dependent on the Middle East for oil. Unfortunately for Beijing, the United States retains a significant amount of leverage and military might in the region which could be used as a powerful weapon in a war of wills between the two global superpowers.

Maintaining a reliable and increasing energy supply is crucial to the well-being and continued growth of the Chinese economy. But as the country continues to develop, Beijing is having a hard time keeping up with demand. For several years in a row, China has suffered major rolling blackouts, with entire cities sometimes going dark for extended periods. And last year, China’s energy industry underwent an extreme stress test as drought crippled the domestic hydropower sector at the same time that the global energy market was in crisis due to a myriad of factors stemming from Russia’s invasion of Ukraine. 

Beijing has been hard at work increasing the size and breadth of its own energy empire, paying special attention to increasing its energy footprint in developing countries with large and mostly untapped energy production potential. Back in 2020, Barron’s proclaimed that China had already become “the center of gravity for global energy markets”, and its sphere of influence has only continued to grow since then. On top of Beijing’s heavy investing in other nation’s burgeoning energy markets, China has also blown everyone else away in terms of clean energy spending in recent years. But it’s still not enough to fill the country’s nearly insatiable hunger for additional energy supply. Related: China Is Still Critical To America’s Clean Energy Boom

It’s clear that Beijing is extremely worried about the precariousness of China’s energy security as the country’s economy continues its upward trajectory and demand continues to skyrocket. The country remains hugely dependent on imports to meet its energy needs. It is the second biggest consumer of oil in the world, after the United States, and an incredible 72% of this is imported. The Middle East alone is responsible for about half of those imports. This renders the country extremely vulnerable to energy sanctions or other kinds of strategic energy blockading. Indeed, the Suez Canal, the Bab al-Mandab, and the Strait of Hormuz are all critical shipping routes that could be blocked with relative ease by Middle Eastern leaders. 

The United States is well aware of this Achilles heel, and U.S. Central Command (CENTCOM) has openly discussed the possibility of wielding its influence in the Middle East to ensure leverage over China if one of the many sources of tension between the oft-altercating superpowers were ever to come to a head. “God forbid there’s ever a conflict with China, but we could end up holding a lot of their economy at risk in the CENTCOM region,” General Erik Kurilla, the commander of U.S. Central Command, said in a congressional hearing in March of this year. 

The United States has built up a considerable and enduring military presence in the Middle East after decades of involvement in and waging wars in the region, including the wars in Iraq, Afghanistan, and against the Islamic State. Instability from these conflicts and power vacuums left by ousted regimes has led to considerable instability in the region, resulting in heavy reliance on U.S. aid and military presence in many countries. As such, many of these countries are tightly aligned with the U.S. and host tens of thousands of troops – a number that could increase many-fold at the drop of a hat thanks to established bases, relationships, and infrastructure on the ground. 

“U.S. posture in the Middle East remains significant,” Defense Department official Celeste Wallander wrote in a statement to Congress. “DoD is ready to rapidly flow significant forces into the region and to integrate those forces with partners based on decades of military cooperation to enhance interoperability and address any contingency,” Wallander noted.

While we all hope that conflict with China can be avoided, there’s no denying that there is no shortage of flashpoints where tensions between the very different ideologies of East and West could escalate to a conflict that would have widespread repercussions for economies and energy markets around the world. 

By Haley Zaremba for Oilprice.com

ADVERTISEMENT

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment
  • Mamdouh Salameh on May 21 2023 said:
    The Strategic location of the Middle East and its vast energy resources will always be pivotal in any inevitable conflict between the United States and China.

    However the balance of power in this quintessential region has been for years tilting towards China with its growing influence not only in the Middle East but also in the Asia-Pacific region overwhelmingly eclipsing US influence. There are vital reasons for this shift.

    1- the reputation and credibility of the United States has been suffering worldwide because of seeking hegemony over the world. its haphazard sanctions against countries of the world and for defending Israel’s interests at the expense of Palestinian rights.

    2- Its military presence in the Middle East will become a thing of the past within the next five years . Only ships of the US Navy will remain near the oil sea routes around the Gulf area. These wot be able to block Arab Gulf oil exports to China since Chinese navy will be escorting them.

    3- Russia is capable of supplying China with more than 5.0 million barrels a day (mbd) via oil pipelines traversing the borders between the two neighbours and also by tankers via the Northern Sea Route (NSR) from the Arctic. Moreover, oil shipments from the Gulf could avoid the Malacca Strait since China could use an oil pipeline it built via Myanmar.

    4- In any future conflict, China could avail itself to more powerful weapons that the United Stares doesn’t have, namely the Belt &amp; Road Initiative (BRI) and the petro-yuan.

    For these reasons and many more, the US can neither prevail over China nor be able to block oil supplies to China.

    Dr Mamdouh G Salameh
    International Oil Economist
    Global Energy Expert

Leave a comment




EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News