U.S. Treasury official Scott Bessent said countries worldwide will likely diversify their energy sources away from the Middle East to find more stability.
This shift could alter global trade dynamics by reducing the geopolitical leverage of Middle Eastern energy exporters and increasing the strategic influence of U.S. energy exports.
Speaking during an interview on CNBC with host Joe Kernen, Bessent said that instability and recent conflicts in the Middle East are prompting nations to seek more reliable supplies. He said that the U.S. is uniquely positioned to provide that stability to the global market.
"We think that not only China, but countries all around the world are going to look to diversify away from the Middle East for a more stable source of energy — and what better place than the U.S.?" Bessent said.
The push for diversification comes as energy markets face volatility. Oil prices have risen above $100 per barrel [1] amid the Middle East conflict, adding pressure on importing nations to secure more predictable pricing, and delivery schedules.
Bessent said that the trend toward diversification is not limited to a single region. He said that various countries are evaluating their energy security strategies to avoid the risks associated with regional warfare and political upheaval in traditional oil-producing zones.
“Countries all around the world are going to look to diversify away from the Middle East”
Bessent's comments signal a U.S. strategy to capitalize on geopolitical instability in the Middle East to expand its own energy exports. By framing the U.S. as a 'stable' alternative, the Treasury is linking energy security with diplomatic and economic alignment, potentially shifting the dependency of major economies like China toward American energy infrastructure.
