The Decline of Oil Power in Middle East Geopolitics

Despite expectations, the recent geopolitical turbulence in the Middle East—especially the events of October 7, 2023, and the escalation between Israel and Iran—did not deliver a severe blow to global energy markets. Compared to past regional crises or major global shocks like the Russia–Ukraine war, the impact was surprisingly muted. This apparent inability of oil-rich Middle Eastern nations to wield their petroleum power as a political weapon may mark the start of a deeper shift in global dynamics—one that emboldens Western-aligned…