BEIJING: Can the China-U.S. relationship bottom out after the severe setbacks caused by Washington’s hostile policy during Donald Trump’s presidency? To Li Qiangmin, the answer is “sure” and he believes expanded energy cooperation could help ease tensions between the two countries.
Li, former Chinese Consul General in Houston, the U.S., said energy trade with China is essential for increasing U.S. exports, a priority of the upcoming U.S. administration under Joe Biden.
China is the world’s largest oil and natural gas importer. According to Forbes, the U.S. will become the world’s largest exporter in just a few years. Li said this makes the two countries natural trading partners.
“The U.S. needs a promising market and China can provide that market,” Li said at the China International Energy Conference in Beijing on December 11, 2020. “The export of energy products, especially oil and natural gas, is an excellent means to reduce U.S. trade deficit with China.”
The economic disruptions caused by the novel coronavirus disease (COVID-19) and a slump in oil prices led to a remarkable decline in the value of China’s crude oil imports from the U.S. in the first quarter of 2020, but it recovered quickly from May onward.
According to the U.S. Energy Information Administration (EIA), in the first 10 months of 2020, China overtook Canada to become the largest destination for U.S. crude oil exports, importing more than 125 million barrels. Generally, one ton of crude oil equals 7.3 barrels.
“Over the past year, engagement [between China and the U.S.] has still increased steadily during the pandemic.
– The Daily Mail-Beijing Review News exchange item
