By: Sam Day
Crude Petroleum Value: $227 billion 79.16%
Refined Petroleum Value: $15 billion 5.32%
Top 2 Imports:
Refined Petroleum Value: $9 billion 13.81%
Acyclic Alcohols Value: $ 7 billion 11.31%
Top 3 Exported to:
Japan $44 billion 15.42%
China $44 billion 15.34%
United States $42 billion 14.70%
Top 3 Imported From:
China $13 billion 19.61%
South Korea $4 billion 6.52%
Italy $3 billion 4.94%
This shows that it is a trade deficit for the US, but it"s a necessity to maintain our high standards and current way of life.
"Saudi Arabia plays an incredibly important role in the economy of the United State, largely because of its position as one of the most influential members of OPEC, the group, which is formed of the countries which are net exporters of oil. Saudi Arabia has huge oil reserves and it is currently the country with the best capacity for increasing or decreasing its oil production in response to changes in oil prices and demand."
40% of the Us's energy production relies on the oil we recieve from Saudi Arabia, and 97% of our vehicle fuel is due to them. Maintaining an open trade and good relationship is essential for the US's economy.
With Saudi Arabia being one of the major oil exporters, they can in a way set their own opportunity cost, having the ability to lower and higher prices due tot he demand. Since our country is choosing to buy goods at a cost not really beneficial to us, it shows that all choices have costs. It costs us money to trade, but we are getting what we need in return, and are paying the price. Saudi Arabia allocates it's resources where opportunity cost is available.