Energy Diplomacy in Contemporary Global Politics: The Future of Rivalries and Alliances

Karimipour, Davood

Energy Diplomacy in Contemporary Global Politics: The Future of Rivalries and Alliances

Document Type : Original Article

Author

davood karimipour

Assistant Professor in International Relations Department, National Security Research Institute, Supreme National Defense University, Tehran, Iran

Abstract

Given the importance of energy in the global economy, countries employ various strategies and tactics to secure their interests in the international oil market. In recent years, the extensive exploitation of shale resources by the United States has significantly transformed the oil market. The primary question addressed in this article is: "How has the shale revolution influenced the mechanisms of the global political economy of oil?" In response, the main hypothesis posits that "the maximum extraction of shale resources has not only impacted the process of global oil price determination but also reduced the market share of U.S. adversaries, strengthened political alliances through oil, accelerated the shift in energy portfolios of oil-producing countries, and reshaped the geopolitics of oil energy." The findings of this study reveal that the U.S., leveraging shale oil, has substantially reduced Iran's share of the oil market, adjusted global oil prices in alignment with its interests, diminished the strategic importance of the Strait of Hormuz, and supported its political allies by offering oil-related exemptions. These actions illustrate the economic-political mechanisms in the oil market employed by powerful nations to maintain their dominance on the global stage.

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