On Thursday, U.S. Senators Joni Ernst (R-Iowa) and John Fetterman (D-Penn.) introduced the Banning Oil Exports to Foreign Adversaries Act, which would prohibit the export or sale of oil from the U.S. Strategic Petroleum Reserve (SPR) to the United States’ foreign adversaries. Specifically, the bill will ban sales to China, Russia, Iran, Venezuela, Syria, and Cuba, as well as any entity owned, controlled, or influenced by the Chinese Communist Party.
The SPR exists to minimize the impacts of oil supply shocks on the United States. As the world’s largest supply of emergency crude oil, it continues to protect and strengthen U.S. national, economic, and energy security. The U.S. Department of Energy manages the SPR and regularly conducts public sales of excess crude oil to the highest bidders through competitive public auction. In the past, foreign companies with direct ties to our adversaries have won these auctions, giving anti-democratic regimes access to critical energy reserves.
“Energy security is national security, which is why it is essential to safeguard our strategic supply of oil from benefitting our enemies,” Ernst said. “This bipartisan bill will ensure America’s Strategic Petroleum Reserve does not fall into the hands of those trying to harm us and ensure CCP-controlled businesses are not making money by stockpiling taxpayer-subsidized oil. We cannot put Americans last when our adversaries are seeking any opportunity to gain a foothold over us.”
“Our Strategic Petroleum Reserve is meant to protect the energy security of America and our allies,” said Senator Fetterman. “Our adversaries should not be able to purchase oil from our SPR — that’s just commonsense. We must prioritize our national security. This is a good bill that has overwhelming bipartisan support in both chambers. I’m proud to lead it with Senator Ernst.”
