Dr Carole Nakhle, CEO of Crystol Energy, is quoted in this article, published by DW News, where she weighs the effect of US tariffs on global oil prices.
According to Dr. Nakhle, the effect of tariffs on oil markets is not solely related to their rates or abruptness, but rather to the ongoing uncertainty and the tit-for-tat dynamic they create. In addittion, these tariffs were introduced when oil demand was not booming while supply is plentiful, resulting in the price levels we are currently seeing.
Crude oil prices, 2025
Amid ongoing tensions within the OPEC+ alliance over uneven compliance with production cuts, Nakhle suspects that noncompliant members have “exhausted the patience of the most disciplined members” because they’ve been “carrying the burden of the cuts” for some time.
Although the recent OPEC+ move has driven down oil prices—hurting revenues for producers such as Kazakhstan and Iraq—it is likely to have broader negative consequences for all members. According to Nakhle, this signals a strategic shift within the alliance toward accepting a longer-term, lower-price environment in global oil markets: “OPEC+ believe … it would be better for some members, especially those who invested heavily in expanding their production capacity, to safeguard market share.”
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