The Strait of Hormuz Is Asymmetrically Good for America
Insight
Every day the Strait of Hormuz stays closed makes the world meaningfully worse and America relatively better. The US is net energy- and food-self-sufficient and the largest oil/gas exporter; NG1 (US natural gas) is down on the year while LNG elsewhere is up 100-200%. Electricity is the base input to every industrial process, and electricity costs are diverging in America's favor exactly when re-industrialization is policy. That's why Trump appears in no hurry to broker the Iran resolution — the asymmetry is doing the work of an industrial policy without legislation.
Source Context
"And electricity is a base input to every manufacturing or industrial process, essentially all of them. And what we make electricity with in America overwhelmingly is natural gas... NG1, it is down this year. The input cost for electricity in the rest of the world... LNG is a very important one and it's up 100, 200%." — 90:37(https://www.youtube.com/watch?v=HGbA6ze0_3M&t=5437s)
"The Strait of Hormuz is absolutely bad for everyone, but relatively good for America and relatively good for Trump's policy goals... Every day the Strait is closed... is relatively good for America. It's terrible for Europe. It is terrible for Asia." — 91:07(https://www.youtube.com/watch?v=HGbA6ze0_3M&t=5467s)