Not US, NATO, Israel, G7, BRICS, or EU; Iran is most scared of THIS group due to…, the group consists…
Israel-Iran war: Iran has shown unprecedented resilience despite being pummeled by US-backed Israel, and now the US itself, in the ongoing Israel-Iran war. Tehran has proven it does not fear any country or grouping, including the United States, Israel, G7, European Union, or NATO.
However, there is one important grouping that impacts Iran’s decisions, at least to some extent, the OPEC+, which includes Iran and 22 other crude oil-producing nations, most of them located in the Middle East. According to estimates, OPEC+ produces more than half of the world’s total oil crude oil, with Iran being one of the largest oil-producing countries in the group.
What is OPEC+ and how it influences Iran?
Unlike the EU, NATO, BRICS, or G7, OPEC+ is not political, diplomatic or military alliance, but an economic grouping of major oil-producing nations, especially the oil-rich Gulf states of the Middle East. OPEC+ produces more than half of the world’s crude oil, and essentially controls global oil prices, making it a powerful entity that can put pressure on nations by weaponizing oil prices.
Saudi Arabia, Iran, and the United Arab Emirates (UAE), are the arguably the most influential countries in the OPEC+. Other oil-producing nations which are part of the group include Iraq, Kuwait, Venezuela, Nigeria, Libya, Algeria, Equatorial Guinea, Republic of Congo, Gabon, Azerbaijan, Bahrain, Brunei, Kazakhstan, Mexico, Malaysia, South Sudan, Sudan and Oman.
All these nations have vast reserves of oil and natural gas worth billions, if not trillions of dollars, and oil-production is a major contributor to their economies.
How much oil is produced by Iran?
Iran’s daily oil production was an estimated 2.5 million barrels in March 2023, but this has increased to 3.3 million barrels, as per a recent Reuters report. More importantly, Iran controls the Strait of Hormuz, through which more than half of the global supply of oil is shipped. Iran can trigger a global crisis if it decides to blockade this strategic shipping lane.
Can the OPEC+ stop the Israel-Iran war?
While Iran is not “scared” of any country or alliance, the OPEC+ countries, most of whom have assured their tacit support to Tehran in the Israel-Iran war, hold some influence on the decisions made by the Islamic Republic. Experts believe Iran would not brush aside any mediation efforts or advice, and can play a key role in resolving the ongoing Israel-Iran conflict.
Among non-OPEC countries, Iran also has the support of Russia, China, and Pakistan in the current conflict. Recently, Russian President Vladimir Putin told OPEC+ that the Israel-Iran is the major reason behind rising crude oil prices, while Iraq’s Deputy PM warned that crude oil price would soon breach $200 per barrel if the war continues.
The OPEC+ is not a diplomatic or political grouping, but has some power to act as a mediator to help de-escalate the current tensions between Iran and Israel. Putin recently talked about mediating between the two enemy nations, while several other countries have also made similar statements.
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