Ship Of Shame: Australia Saved By Trump’s Emergency Fuel Shipments

It’s no secret that Europe and western satellite nations like Canada and Australia have been rather hostile in rhetoric when it comes to the US.  This trend started well before the war in Iran and is owed largely to the ideological break between American conservative movements and European globalists and “multiculturalists”.  

The Trump Administration’s trade tariffs are a big factor, but they are ultimately just another reflection of the separation of ideals between the US and its liberal “allies”.  At bottom, US tariffs against allied economies are merely a response to decades of allies using tariffs against the US.  Tensions between western powers are rooted in a conflict of principles, not economics.  

Despite these tensions and the fact that countries like Australia have made it clear that they will not aid the US in reopening the Strait of Hormuz (which Australia relies on for the majority of its energy supplies), Trump has offered considerable help to prevent Australia from facing total economic collapse.

Australians are calling it the “Ship of Shame” – A series of refined fuel imports from the US over the course of the past month which are preventing the country crossing the “dry up” threshold.  Australia imports around 90% of all it’s refined fuels, including diesel which the nation relies on heavily for industrial needs and freight needs. Around 60% of Australia’s refined fuels are produced in Asia using oil that passes through the Strait of Hormuz. 

Without these US shipments, the country was four weeks away from critical shortages and potential industry shutdowns.  Australian political leaders have proven to be either incompetent or indolent in their responsibilities to prepare the country for energy emergency.  

Critics will argue that Australia would not have to worry about fuel shortages were it not for US intervention in Iran.  But, as we warned in March, the blame rests squarely on the shoulders of the liberal Australian government, which has crippled their own economy with strict “green” polices, carbon taxation and their continuous efforts to thwart homegrown energy production. 

Australia’s economic weakness is a product of many years of mismanagement and has nothing to do with the Trump Administration or the war in Iran.

The US sent around 240,000 metric tons of fuel products in March alone, the largest amount to Australia in over 30 years, with more on the way.  Along with some alternative supplies coming from Africa, Malaysia and other markets, Australia’s emergency reserves are actually greater than they were before the war in Iran (with an extra 10 days of supply on top of their previous totals). 

However, there is still a threat of “long tail” shortages and price hikes if the closure of the Hormuz lasts longer than a couple of months.

The lesson is clear; economic interdependency is a mistake and “just in time” supply chains are foolish.  Furthermore, green energy is utterly useless and a form of economic suicide.  Australia is a perfect model for what not to do when developing a national energy policy.

The country’s sudden desperate need for aid from Trump and the US will hopefully wake up the Australian public to the fact that their current far-left political leadership is inept at best, and self destructive at worst.