Many countries, including the United States, plan to release some of their oil reserves to curb rising crude oil prices. Earlier on Tuesday, US President Joe Biden cited sources close to the file, according to the Bloomberg News Agency. OPEC +’s oil-producing countries have already announced that they can adjust their own production in that case.
Biden has long believed that oil prices are too high, so he called for OPEC + (an additional OPEC oil cartel offered by countries such as Russia) to start higher production. However, the oil-producing countries, which were hit hard by the fall in oil prices last year, did not support it. So Biden is trying to build an alliance of countries that will put a portion of their reserves in the oil market. Countries such as India, Japan and South Korea are said to be joining the US, and China is also considering drawing up its oil reserves.
OPEC + nations are not happy that strategic oil reserves will be used to curb rising prices. Those reserves are designed for emergencies, and by country, that is not the case.
OPEC + may meet next week to discuss production for December. Under current plans, countries will produce an additional 400,000 barrels a day.