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The US geopolitical strategy has two paths to energy dominance. The first is defeating Iran. The second, more cynical path, is to simply ensure the Middle East remains destabilized. This makes the collective energy production of the Americas a relatively more secure and valuable strategic asset globally.
The push for conflict with Iran wasn't just about nuclear threats but a calculated move. By controlling the Strait of Hormuz, the US could cut off China's primary oil source, forcing them into economic concessions and shoring up the US dollar.
Despite reduced U.S. reliance on its oil, the region remains a strategic trap because its resources float the global economy, making it critical to allies and rivals like China, and because of the petrodollar's role in recycling capital back into the U.S. economy.
Despite reputational damage, America's status as a net energy producer insulates its economy from the oil price shocks devastating allies and emerging markets. This creates a flight to safety that paradoxically benefits the US dollar and markets, while Russia also profits handsomely.
Trump is leveraging America's energy independence by telling allies to secure their own oil from the Strait of Hormuz. This forces a choice: purchase oil directly from the US or invest their own military resources, fundamentally shifting global energy security dynamics.
As a radical statecraft move, the US could form a 'North American Petroleum and Hydrocarbons Trading Hub Association' (NAPTHA) with allies. This would create a self-sufficient energy bloc, isolating adversaries and fundamentally fragmenting global energy markets.
Beyond geopolitics, transforming Iran into a stable, pro-West trading partner could unlock vast oil and gas reserves and unleash entrepreneurial talent. This would stabilize global energy prices, providing an economic upside that is a powerful, often overlooked, aspect of the conflict.
A threatening Iran creates regional uncertainty, compelling U.S. allies like Saudi Arabia and the UAE to continuously purchase American weapons and technology. This dynamic creates a powerful financial incentive for the U.S. to maintain, rather than resolve, certain geopolitical conflicts.
The primary driver of the US-Iran conflict is seen as a defense of the US dollar's global supremacy. A potential Russia-China-Iran alliance trading in gold would threaten the petrodollar system, which underpins America's economic empire, making the war a necessary defensive move.
Iran's victory condition isn't military dominance but strategic disruption. By using asymmetric warfare—mines, drones, and missiles—to create chaos in the Strait of Hormuz, it can halt the flow of oil. This cracks the petrodollar system and achieves its primary geopolitical objective without needing to defeat the US Navy in a conventional battle.
By confronting Iran over the Strait of Hormuz, the US benefits either way. It either gains control of Iran's oil or, if the region descends into chaos, it can become the world's primary oil supplier by leveraging its own and Venezuelan production, making both outcomes economically advantageous.