Energy

Belfer Center experts on the U.S.-China relationship and Middle East issues shared thoughts on the significance of the unexpected Iran-Saudi Arabia agreement brokered by China. 

President-elect Joe Biden’s decision to create a new cabinet-level position for climate-related issues — and to choose so prominent a figure as former Secretary of State John Kerry to fill it — demonstrates Biden’s sincerity over putting climate at the very center of U.S. foreign policy. It is easy to understate the importance of this appointment, given the flurry of czars created by most new administrations.

Today’s economic crisis leaves us with an unsettling and perplexing regret. Why weren’t financial portfolios already adjusted for risks that stem from health events such as pandemics? After all, financial portfolios are adjusted for liquidity risks, market risks, credit risks, and even operational and political risks.

Former U.S. Secretary of State Rex Tillerson offered his take on global leaders and hotspots, from Iran and Saudi Arabia to North Korea and Syria. He was joined by Professor Nicholas Burns, Professor James Sebenius and Professor Robert Mnookin.

The relationship between oil and war is complicated—and much of the time, oil disputes are resolved peacefully. The more dangerous disputes are those where tensions over oil exacerbate other factors on the road to war.

Despite the continuing debate in Tehran, the principle of “no negotiation under pressure” with the United States remains a consensual principle among all members of the current regime. The Supreme Leader has expressed this position by stating that the negotiations with the Trump administration are “double poison”. While Iran’s regional enemies are pushing for confrontation, the international community remains supportive of Tehran’s political position, as long as it stays committed to the nuclear deal. Existing indicators do not point at any willingness for confrontation from either side – at least at the moment. And although some regional actors have attempted to pacify the tension, the prospects for a truce remain unlikely within the current context.

The move of President Donald Trump to visit Baghdad on Wednesday is a small, good one, amid a week of calamitous decisions. The press will understandably highlight the time that Trump spends with U.S. troops. Yet a key objective of the trip will have been to shore up the new Iraqi government's confidence in the U.S., as Iraqi officials must be high on the list of those shocked by the president’s recent decisions to rapidly withdraw U.S. forces from Syria and Afghanistan. Perhaps the president has realized that his administration has some hard work to do if there is any hope of keeping his latest determinations from dramatically strengthening Iran.