EnergyFactor By ExxonMobil | Pespectives has a new home

The benefits of trade for global prosperity and diplomacy

My previous post discussed the abundance of natural gas brought on by energy production from shale and other so-called unconventional sources. This new energy paradigm offers tremendous economic and environmental benefits to the American people.

It can also help the United States advance its global trade and diplomacy aims. National Security Advisor Tom Donilon spelled out President Obama’s “free trade path to prosperity” in a Wall Street Journal op-ed earlier this week about U.S.-Japanese relations.

As Mr. Donilon noted, international trade “make[s] the U.S. stronger at home and better positioned to lead in the regions where it matters most.” International trade in natural gas obviously serves that purpose.

One important point that studies recently have made clear is that the large natural gas resource base can support both growing domestic use of natural gas as well as LNG exports. They confirm that more exports will almost certainly lead to more investment, more exploration and more production.

That’s good news, because any realistic attempt to meet the goal the president set forth in 2010 of doubling exports of American products by 2015 must include energy products like liquefied natural gas.

As those at LNG 17 in Houston this week can attest, the industry is ready to do its part. In an industry of such enormous complexity and scale, companies like ExxonMobil are communicating to the public the realities of natural gas production and LNG markets.

What matters most now, though, is the willingness of policymakers in Washington to stay true to the free-trade principles that are the bedrock of prosperity and security.

Robust international trade will expand the economy, enlarge economic opportunities, create jobs and generate tax revenue – for the United States as well as our trading partners.


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