Oil production should be reversed as the global economy recovers, the U.S. president said.
OPEC countries should give up cutting oil production as the global economy recovers in order to lower prices. U.S. President Joe Biden said this during a speech at the White House on Wednesday, August 11.
вЂњWe have made it clear to OPEC, the world's major oil-exporting nations, that the production cuts made during the pandemic should be reversed as the global economy recovers -- to lower prices for consumers... I want to make sure that nothing prevents oil prices from falling, which will lead to lower prices for consumers,вЂќ Biden said.
He said the drop in the cost of oil has not yet reduced the retail cost of gasoline for most Americans, вЂњIt's not something you would expect in a competitive market.вЂќ
He promised that the U.S. government would вЂњuse all available means to monitor the situationвЂќ around gasoline prices in the country and вЂњcrackdown on any illegal actions related to their rise.вЂќ
вЂњWe are taking steps to address the problem of gasoline prices. Gasoline prices are lower today than they were at the beginning of this decade, but they are still quite high, which limits working families in the United States,вЂќ Biden added and assured that he would not raise gasoline taxes.
Recall that in June, the OPEC+ countries decided to accelerate the return to the market of oil, whose production has been sharply reduced since May 2020. At the same time, the deal is extended until the end of 2022. Since August, the OPEC+ countries start to increase oil production by 400 thousand BPD per month until the complete curtailment of the cuts.