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The United States, India, China: The world war for oil

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Today, Asia is booming economically, but sorely lacking in energy. China and India face the same challenge: Dependence on other countries for keeping their economic wheels moving. These two Asian powers lead a global strategy to find new suppliers.

Today, China is very concerned about its dependence on the oil and some other countries. China is the third largest importer of oil, the first being the U.S., and Japan is the second. Yet China has significant oil reserves (2.6% of world oil reserves). The Russians, meanwhile, have 6% of world reserves.

However the deposits in China are located in areas that are difficult to reach. The South China Sea where the deposits are sea deep , and China is a master in the offshore techniques.

The region of Xinjiang, where the extraction conditions are very difficult. Xinjiang is a desert where oil is difficult to extract. In addition,there is in this region an independent movement of rebellion. The Muslim minority (Uighur) is campaigning for autonomy. Beginning in January 2009, the two leaders were executed because of this movement.

China is placed in a difficult position because it does not control the routes of its energy supply, especially oil. China, like Japan and Taiwan, depends on the Malacca Strait. The lifeline of Asia is the first international shipping route. This strait is for everyone.

Malacca is truly the key oil trade route from China: 80% of its purchases of oil passes through Malacca. It is therefore vital that the road remains open and free shipping. In addition, 40% of Chinese exports also pass through Malacca.
When China buys oil from South America, even if the road course is longer, it uses the Straits of Malacca and not the Panama Canal because it is not free and saturated.

Indonesia is the largest archipelago in the world. Much of the islands of Indonesia are not even mapped. There are about 13 to 17,000 islands. Neither Indonesia nor Malaysia will monitor the Strait of Malacca because these two states have no interest. In addition, they have no naval force that will monitor the Strait of Malacca.

Indonesia is the first Muslim country in the world with about 200 million followers of the faith. Radical groups have no trouble recruiting accomplices within the population. On several occasions Western interests have been beaten and threatened in Indonesia like the Bali bombings. In fact, Bali is a great tourist town with a Hindu majority. In addition, the attempted destruction of the Indonesian Petronas Towers has created fear.

Tags: War of oil; China; United States and India; oil trade routes

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