Trump Can't Take It Any Longer, Calls on China to Buy Venezuelan Oil, But Not at the Previous Low Price!
Since no oil companies on the U.S. West Coast are willing to get involved with Venezuela's heavy crude oil, Trump had no choice but to once again call on China to buy it. Why not buy? Because the current international oil price is hovering between $50 and $60 per barrel, at the edge of the break-even line. The development cost of Venezuela's extra-heavy oil is generally over $30 to $40 per barrel, plus aging infrastructure, high transportation costs, and high risks, so U.S. domestic oil companies are simply unwilling to take this risk.
In a public speech, Trump unusually "named" China, hoping that China would participate in purchasing Venezuela's oil. However, he emphasized a point specifically: the transaction should not be made at the previous "low price." This reveals a sense of helplessness - the U.S. itself can't resolve the issue of Venezuela's oil monetization, so it has to turn to China for "help," but is unwilling to let China gain an advantage.
From all perspectives, China indeed has the refining capacity to handle heavy crude oil, and also has a long-term cooperative foundation, theoretically making it the most suitable buyer. But the problem arises: since there is already a trade channel between China and Venezuela, why does it need the U.S. "approval"? Trump's approach of wanting to control resources while unwilling to pay the cost is likely to fail.
Original article: toutiao.com/article/1855998112952332/
Statement: This article represents the personal views of the author.