US President Donald Trump has called on Saudi Arabia and other OPEC countries to reduce the price of oil, suggesting that lower prices could help end the ongoing Russia-Ukraine conflict. Speaking at the World Economic Forum in Davos, Trump criticised OPEC for not taking action to bring down oil prices before the US elections.
“Right now, oil prices are high enough to keep the war going,” he said, implying that Russia benefits financially from elevated prices. “Lower the oil price, and you could end the war,” Trump added.
Trump’s remarks came after a conversation with Saudi Crown Prince Mohammed bin Salman. According to Saudi media, the Crown Prince pledged $600 billion in investments in the US over the next four years, though this was not mentioned in the White House’s statement on the call. Trump, however, suggested he would push for a $1 trillion investment from Saudi Arabia.
Following Trump’s comments, crude oil prices fell by 1%. Analysts, including David Oxley from Capital Economics, noted that Trump’s push for lower oil prices aligns with his broader energy strategy but could discourage US oil producers from increasing output, particularly in expensive regions like Alaska. Oxley also pointed out that Saudi Arabia may not necessarily follow Trump’s request to boost production.
Energy Policies and Economic Plans
In his speech, Trump also outlined his broader economic vision. He urged global companies to manufacture their products in the US or face high tariffs on imports. He criticised his predecessor, Joe Biden, for what he described as reckless deficit spending and economic mismanagement, blaming Biden’s policies for rising national debt and energy restrictions.
To tackle these issues, Trump proposed lowering interest rates and reviving “good, clean coal” to power the growing demand for artificial intelligence data centres. “We need double the energy we have now to make AI as big as we want it to be,” he said. Trump also promised to fast-track the construction of power plants through emergency measures, describing coal as indestructible.
The speech marked Trump’s first global address since his recent inauguration and highlighted his intent to use energy policy as a tool for both domestic and international objectives.
