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The irony here is that the US is the one pressuring the EU to sanction the Nord 2 pipeline. They have little to lose from its suspension. Russia is unlikely to
by Aunche 5y ago
The irony here is that the US is the one pressuring the EU to sanction the Nord 2 pipeline. They have little to lose from its suspension. Russia is unlikely to willingly cut off gas to Western Europe because they're hurting themselves just as much.
- adventured 5y agoThe US does have something to lose. The US is now a large natural gas exporter, and that demand pulls away from our domestic market, which forces our prices higher. When European natural gas prices are 4x-5x that of the US, the foreign demand for cheaper US imports can become a frenzy. While US prices may seem cheap by comparison to what Europe is seeing, when you triple those prices versus a year ago, US consumers feel that hit significantly (with many population centers in the US having quite cold Winter weather, expectations right now are for a quite expensive Winter season in the US for natural gas prices). And the US has also become a lot more dependent on natural gas as an energy source over the last 15-20 years, so it's increasingly sensitive to such large price spikes; far more so than back in the commodity bubble years of 2005-2008 which saw US natural gas prices climb to about 3x where they're at now (before the supply boom in the US crushed prices). If natural gas prices in the US keep soaring, you can expect the Biden Administration to look into turning off exports via whatever justification they can come up with to make it happen.