Comments by "anotheranon" (@anotheranon3118) on "German Chancellor Olaf Scholz loses his cool as energy debate gets heated" video.
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@safiibrahim1778 I don't think that they are, to be honest. When we talk about gas, we need to check the connections that link Russia to the East. There's only one pipeline which can't deliver large volumes as of now. There is another one being built, but that will take years to finish. Western technology is required to finalize that pipeline, which can't be imported as of now, so the project may take longer to finalize. Also, China won't be as stupid as the Europeans to almost exclusively rely on Russia for their gas, so Putin and co. do have a problem on that front at least in the short to medium term.
Re. oil, Russia's oil is not the cheapest around to produce. Saudi's, Iran's and Iraq's oil is much cheaper. Indonesia's, Norway's and US' oil are more or less the same price. Russia's oil is also easier to replace in the global market than gas is, because there are more sellers. And now that it needs to be shipped further away (5 days are likely to become 30+ for the average Russian tanker to reach its destination), it becomes less competitive. So that's something to consider. OPEC is currently pumping more oil into the global supply and, along with other reasons, crude oil prices have decreased quite a bit since they went bananas in March.
So, no, I don't think so. It may look like they do, but when you start scratching the surface, the reality is more complicated.
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@safiibrahim1778 It's very hard to talk about medium to long term scenarios. The West's global power in relative terms will decline, but it's just very hard to make proper predictions about all the rest.
China has a terminal demography, which will really bite them. They only have a short window of time to escape the middle income trap before their society gets too old, which will have very clear implications for growth, among others. Japan, for instance, got 'rich' before it got old, and even so, their demographic profile is really hurting them. We will see whether China manages that transition adequately, which may not be the case.
We are also in the midst of an energy transition. China has a bit of an upper hand in this when it comes to the supply of rare earth minerals, but hydrocarbon exporters such as Russia may be losing big in the medium term. Saudi Arabia, for instance, knows this, that's why they are diversifying its economy at the moment - to be prepared.
New markets for the minerals that you quote above can be explored. Investment needs to follow suit. China has the monopoly on many because they invested in extraction domestically and tried to control some of the african supply chains. That does not mean it is a fixed matter - things can change in that respect.
Russia's self sufficiency does not mean they will be necessarily doing Ok - problematic demographic profile too, brain drain, they will find it hard to move up the value chain ladder in many sectors, a very big country yes but also difficult to manage in terms of infrastructure /logistics, new pariah status with not blocked but severely curtailed access to investment and funding, and many others.
TLDR: it's hard to look very far into the future, especially when we talk about so many things at once. But I do appreciate you keeping it civil and I do appreciate the reasonable reply.
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