Zeihan-President-Elect Demand That EU Import US Oil & Gas

Interesting points. And keeping in mind Zeihan theory is the world is deglobalizing and breaking into fractions and regions of trade.
Europe is is less energy intensive because they do not have a lot of manufacturing.[1minute-20 seconds] In fact Europe is de-industralizing because they are running out energy, workers, & money-the last two because of demographic issues.[1minute 35 seconds]
The US decided to supply Europe it would have to increase production of gas & oil. Oil production would have to increase by 2-4 million barrels a day which will happen anyway in the next 5 years. And would have to double LNG export capacity. There are enough projects on the pipeline at the present time to accomplish. Probably would take 10 years to build such capacity. So the US could supply Europe but that would mean ending all exports to other regions in the world.
Problem that is that we supply 50% of Mexico’s natural gas supply and a million barrels a day of oil. And Mexico is linked to US industrial base. So not a good idea to end that trade.
The argument for such a move is cultural links with Europe, keeping Russia in a box, and resulting synergy with Europe industrial base, and of course making Europe more of a vassal state. [1minute-49 seconds]
But we have to cut those ties with Asia & Mexico.
The argument for not choosing Europe is its future demographic decline. Zeihan predicts its industrial base collapse within a decade. France & UK has better futures.[5 minutes 10 seconds]

A better bet is linking with Vietnam, Indonesia–in other words SE Asia as it is the future for great industrial/economic expansion.[5 minutes 10 seconds]

This a conversation that the US should be discussion and making strategic plans. But likely the US dither around and make no plans. Because that is what we do.

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Just think what the price of Gas and Oil will do? People complained of high gas prices now just wait.

The cited article says, “suggested that Europe should…”

The thread’s title says, " President-Elect Demand…"

Somebody is going to get offended

The Captain

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On the last go around, TFG was highly critical of western Europeans contracting for gas via Nord Stream II. He said those countries should contract with the US for LNG, instead. Events have shown him right, on the dangers of being dependent on Putin’s benevolence.

If there are any doubts about the incoming administration’s intention to enrich the US oil and gas companies, refer to a speech delivered at last summers convention, about “US energy dominance”, delivered by the nominee to be Secretary of the Interior, which ended with a ringing endorsement of “gas powered cars”.

Steve

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Yup. I’d sure rather be the US than the EU, energy-wise.

DB2

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