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If Saudi Arabia breaks relations with America, how will it affect the American economy?

9 Answers

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  • 2 years ago

    US / Saudi trade in goods and services totaled $45.6 billion in 2017 ($25.5 billion and $20.1 billion import).

    Compare that with the $673 billion per year with Canada, the $616 billion with Mexico, the $283 billion with Japan, $144.6 billion with South Korea, the whopping $710 billion with China, and the truly massive $1.1 trillion with the European Union.

    Breaking relations with Saudi Arabia would not even register as a small 'blip' on the US economy, but would serve as a massive warn for the Saudi, given that trade with the US accounts for 10% of their exportation and 15% of their imports (roughly 12% of their economy overall).

    Given that Trump is a narcissistic sycophant and that they awarded him their highest civilian award in 2017 (the King Abdulaziz al Saud Collar), chance of the obese orange abomination to do the right thing is approximately zero.

  • 2 years ago

    it won't. and KSA isn't going to do that because they NEED America to preserve their freedom from Iran [Iran has three times as many people as KSA]

  • 2 years ago

    Saudi Arabia was forced to expand social programs in the country to avoid the Royal Family from being tossed out. That is a huge expense for the country. They need those western oil dollars. Germany just called them out. Expect 15 or so Saudi to lose their heads soon.

  • humpty
    Lv 7
    2 years ago

    I have no money invested in anything Saudi. I have kept every dollar in the United States, Canada and Western Europe, aside from a well drilling crew I keep working in Bangladesh as a mitzvah to provide potable water where there is none. If the Saudis break relations it will not affect me significantly. In fact, since I have invested in wind farms in Alberta and Montana as well as the company that makes the machines themselves it will probably make me richer.

    That being said, for those who have not or cannot divest themselves in an economy good manners and morals should have warned them away from, like President Trump and the Kushner family, the hit will be significant, unless the Saudis protect them as a courtesy the same way Bush 2 evacuated the bin Ladn family after 9/11.

    We don't need Saudi oil, and if Trump would realize that Iran is the ideal counterweight to balance the Saudis in trhe Middle East, and that it is the Saudis who pay the Wahabi clerics who spread jihad throughout the Muslim world, we never will. Iran would sell to us readily if we stopped selling arms to the Saudis.

    Did I mention I am known in Bangladesh? That Muslim country is in danger of being radicalized because tighty percent of the teachers are Wahabi Muslim clerics paid by Saudi Arabia. The other twenty percent are paid for by Canada, our closest ally, and the Wahabi send their students to disrupt those classes.

    But I digress. Business and the marketplace will find a way to survive without the Saudis. Gas will go up not because of actual disruption but because the sellers can claim it happened, or might, and this will speark inflation that I doubt our current Congress or President are equipped to handle. That is the real danger to our economy.

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  • Snid
    Lv 7
    2 years ago

    Gas prices will go up.

  • Anonymous
    2 years ago

    It'll hurt... for a while.

    Eventually Saudi Arabia would be forced to cave or face bankruptcy from lack of oil sales to their biggest customer.

    Lolz

  • Anonymous
    2 years ago

    WE NEED to destroy BOTH of those countries !

  • Anonymous
    2 years ago

    We won’t get jet fuel any more. The only other country who has it, is Iran.

  • Anonymous
    2 years ago

    It won’t!

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