Summary by Geopolist | Istanbul Center for Geopolitics:
The article emphasizes ExxonMobil’s strategy to substantially increase oil output by the end of the decade, establishing itself as a prominent worldwide entity despite concerns regarding a potential oversupply catastrophe. The corporation contends that its capacity to produce oil at a reduced cost legitimizes this development despite uncertainty in fossil fuel consumption.
Simultaneously, the piece examines the emergence of resource nationalism as nations increasingly focus on securing vital minerals such as lithium and copper, which are crucial for clean energy transitions and technology sectors. Western democracies are implementing protectionist policies, driven by geopolitical events like the pandemic and the Russia-Ukraine conflict, to mitigate reliance on supply chains dominated by China.
For example, the U.S. has implemented measures like the Chips and Science Act to strengthen its domestic industries, while Europe has also enacted policies to protect and localize mineral supply chains. This shift has intensified global trade tensions, as seen in China’s retaliation with export restrictions on critical materials.
The pattern represents a greater shift toward protectionism not seen since the mid-twentieth century, with expropriation risks rising in nations such as Venezuela, Russia, and Mexico. Businesses struggle to navigate complicated global supply networks in the face of increased interventionist policies and shifting regulatory landscapes. This changing climate underlines the importance of diversification and strategic partnerships for mitigating geopolitical risks.
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