Stories by Daniel Raimi

Expert Voices

Strait of Hormuz tensions underscore oil market’s global scope

Ships in the strait of Hormuz
Ships in the Strait of Hormuz. Photo: Marwan Naamani/AFP/Getty Images

President Trump has claimed that turmoil in the Strait of Hormuz matters less than in decades past, now that U.S. oil production continues to grow while imports fall — a view that does not reflect the global nature of today’s oil market.

The big picture: Middle East tensions have heightened following multiple attacks against oil tankers in the Strait of Hormuz, a 2-mile shipping channel exiting the Persian Gulf through which about one-fifth of the world’s oil passes each day. Even though the majority of those shipments are bound for Asia, the interconnectedness of the global oil market means demand surges or supply disruptions in any region affect oil prices worldwide.

Expert Voices

U.S. oil exports at record high, but energy independence still elusive

Data: EIA; Chart: Andrew Witherspoon/Axios

The U.S. Energy Information Administration recently released preliminary data showing that, during the week of Nov. 30th, the U.S. exported more oil and oil products than it imported for the first time in decades.

Yes, but: The net exporter status lasted only one week, and doesn’t represent annual averages. While many celebrate the U.S.’ new status as a net oil exporter, the reality is that the U.S. will never be energy independent as long as it is tied into global markets.

Expert Voices

Despite renewables growth, there has never been an energy transition

Note: 1800–1900 data shown at 25-year intervals, 1900–1920 & 1930–1970 data shown at 10-year intervals, and 1920–1930 & 1970–2015 data shown at 5-year intervals. Data: Arnulf Grubler (2008), International Energy Agency (2017). Reproduced from charts by Richard Newell and Daniel Raimi. Chart: Axios Visuals