International Oil and National Security Essay

When cover fueled the navies of both Britain and the United States in introduction War I, it began the tremendous impact petroleum would have on the military man. When British and French forces were threatened with vegetable oil colour color shortages, the US gave the overmuch needed help. Without the corresponding assistance, Germany had to shorten critical operations. Since military hardw ar were all dependent on oil for power it became important that their countries have access to oil. Britain had access to pith East oil and the United States had the oil from the Caribbean.After the war, Britain and the United States go along to dominate the oil fabrication of the world. The US has 4 large oil companies and Britain has 2. From the experience of World War II, control of the oil production for employ in the military explains the success of the US and the defeat of Germany and Japan. The US rebuilt atomic number 63 and Japan with the assurance of oil supply. US had enough Venezuelan oil for its needs, set its eyes on the oil-rich Middle East. Oil is also seen as an important commodity for industries.To ensure its access Britain acquired concession rights on the oil of Iran, but it was not enough. The political sympathiess of Latin America refused to allow foreign governments participation in their oil industries. Excessive supply had to be jointly managed which paved the way for developing oil sources in Iraq, Bahrain and Kuwait, as well as Mexico and Venezuela. The threat of war with Mexico and a crisis in Venezuela was defused with settlements and concessions. The lesson for the British was not ownership of oil militia but control of ocean routes that had more impact.A growing concern that US oil re comes are nearing depletion prompted oil companies to seek additional sources in order to serve domestic requisite and supply foreign markets. They shifted their attention from the Caribbean to the Middle East. on that point has been a noted change in the structure of the global oil industry as well as in the triggers of consumption. The oil industry is important to national security, comes from non-renewable sources and oil reserves is dependent on the demand and supply of the commodity.The seven oil majors control 90% of oil reserves, produce 90% of oil, have a 75% refining capacity, and tack 90% of oil in the global market. In the middle of the mid-fifties there were small entrants, who challenged the majors, and who sold their oil at low prices. These pushed the world prices of oil downward. Oil consumption is a big part of the economy. grammatical construction of highways and railways, purchase and registration of cars and trucks make America a great go nation and consequently a high gas-consuming public.Ever conscious of maintaining reserves the US relied heavily on oil imports to sustain its energy needs. As the Middle East has become its largest energy source, the US government is much concerned with maintaining th e security and stability in the Middle East. Policy makers are looking for alternative, diversified and renewable fuel sources, efficient utilization and preservation measures to reduce the countrys dependence on oil imports taking into account their costs and benefits.