Islamabad: Pakistan on Tuesday sided with Saudi Arabia in its row with the US over an Opec oil supply cut.
“In the wake of statements made against the kingdom in the context of Opec+ decision, Pakistan expresses solidarity with the leadership of the Kingdom of Saudi Arabia,” Foreign Office said in a statement on the escalating controversy, which has seen Washington and Riyadh trade barbs.
Islamabad’s surprise decision could potentially throw off the track efforts by the government to fix Pakistan-US ties, after the rupture caused by former prime minister Imran Khan’s allegation that Washington conspired to oust him after his trip to Russia and the recent remarks by President Biden about ‘nuclear weapons without any cohesion’.
The FO did not directly name the US in its statement.
“In the wake of statements made against the kingdom in the context of Opec+ decision, Pakistan expresses solidarity with the leadership of the Kingdom of Saudi Arabia,” Foreign Office said in a statement on the escalating controversy, which has seen Washington and Riyadh trade barbs.
Islamabad’s surprise decision could potentially throw off the track efforts by the government to fix Pakistan-US ties, after the rupture caused by former prime minister Imran Khan’s allegation that Washington conspired to oust him after his trip to Russia and the recent remarks by President Biden about ‘nuclear weapons without any cohesion’.
The FO did not directly name the US in its statement.
Washington accused Riyadh of strong-arming other members of the Opec+ to cut oil production by two million barrels a day and threatened to re-evaluate its ties with the kingdom. Riyadh responded by claiming that Biden administration wanted the production cut to be postponed by a month. It was implied that the US wanted the cut to be delayed until after the congressional elections in November.
The Saudis, however, argued that postponing the cut would have led to “negative economic consequences”. They insisted that they had not taken the decision unilaterally rather other members of the cartel had supported it.
“We appreciate the concerns of the Kingdom of Saudi Arabia for avoiding market volatility and ensuring global economic stability,” the FO said.
The cut would lead to increase in oil prices enabling Russia to continue selling its oil on the market and making money for funding its war in Ukraine. Moreover, high oil prices would have inflationary impact across the world – importantly at an inopportune time especially for President Biden as mid-term polls are just weeks away in the US.
The controversy is said to be the most serious in US-Saudi ties that could even affect their bilateral security cooperation. The downturn in the relations between the two sides started since President Biden took office last year. His attempt to mend fences this year with a visit to Saudi Arabia didn’t help.
The FO said, “Pakistan encourages a constructive approach on such issues based on engagement and mutual respect.”
Islamabad’s interest in the global oil markets is limited. Pakistan is net importer of petroleum products. Naturally, lower oil prices suit the country. Its support for Saudi Arabia would, therefore, be seen as its desire to get an increased oil facility from Riyadh even though the cut would lead to increase in oil prices.
The move will, however, not be favourably seen in Washington.
Interestingly, it comes days after President Biden described Pakistan as “the most dangerous nation in the world” because of “nuclear weapons without any cohesion.”
A diplomatic insider said that in addition to other considerations, the decision was based on the policy of standing with Saudi Arabia in difficult times. “We reaffirm our longstanding, abiding and fraternal ties with the Kingdom of Saudi Arabia,” the FO said.
The Saudis, however, argued that postponing the cut would have led to “negative economic consequences”. They insisted that they had not taken the decision unilaterally rather other members of the cartel had supported it.
“We appreciate the concerns of the Kingdom of Saudi Arabia for avoiding market volatility and ensuring global economic stability,” the FO said.
The cut would lead to increase in oil prices enabling Russia to continue selling its oil on the market and making money for funding its war in Ukraine. Moreover, high oil prices would have inflationary impact across the world – importantly at an inopportune time especially for President Biden as mid-term polls are just weeks away in the US.
The controversy is said to be the most serious in US-Saudi ties that could even affect their bilateral security cooperation. The downturn in the relations between the two sides started since President Biden took office last year. His attempt to mend fences this year with a visit to Saudi Arabia didn’t help.
The FO said, “Pakistan encourages a constructive approach on such issues based on engagement and mutual respect.”
Islamabad’s interest in the global oil markets is limited. Pakistan is net importer of petroleum products. Naturally, lower oil prices suit the country. Its support for Saudi Arabia would, therefore, be seen as its desire to get an increased oil facility from Riyadh even though the cut would lead to increase in oil prices.
The move will, however, not be favourably seen in Washington.
Interestingly, it comes days after President Biden described Pakistan as “the most dangerous nation in the world” because of “nuclear weapons without any cohesion.”
A diplomatic insider said that in addition to other considerations, the decision was based on the policy of standing with Saudi Arabia in difficult times. “We reaffirm our longstanding, abiding and fraternal ties with the Kingdom of Saudi Arabia,” the FO said.