Saudi Arabia in the World Oil Market

The goal of the article is to analyze role Saudi Arabia in world oil market and economy for a long historical period. It shown that strategically behavior always was continues be subordinated ensuring stable supply into market. Under leadership OPEC aims at pursuing an economically rational responsible policy, supporting balance demand its thus allow¬ing avoid deep lasting price decline. Until very recently important factor impacting formulation policy maintaining strategic interaction with US. restructuring driven by shale revolution nearing peak global have created new challenges strategy. OPEC+ situational agreement enacted since 2017 non-OPEC countries voluntary reduce levels production temporarily allows keep – preventing from substantial drop prices. At same time opens opportunities competitors, first all American producers tight oil, maintain expand export niches. Shale situation when interests US came open conflict. For political considerations, war order crowd their relatively high costs out not feasible option Kingdom. Attempts transform state company Aramco mega supermajor utilizing on economic financial potential failed as leading international banks corporations avoided company’s IPO. failure partial privatization signal false start large-scale in-flow foreign investment. Paradoxically long-term perspectives crucially depend how effectively it will use coming 10–20 years earnings diversification national outside sector. Acknowledgements. prepared within project “Post-crisis order: technologies, competition cooperation” supported grant Ministry Science Higher Education Russian Federation program research projects priority areas scientific technological development (Agreement № 075-15-2020-783).