[Congressional Record Volume 148, Number 37 (Tuesday, April 9, 2002)]
[House]
[Page H1134]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
URGING SUPPORT FOR RESOLUTION TO INFLUENCE MEXICO TO REJECT OPEC
AFFILIATION
The SPEAKER pro tempore. Under a previous order of the House, the
gentleman from Pennsylvania (Mr. Gekas) is recognized for 5 minutes.
Mr. GEKAS. Mr. Speaker, soon after the tragic attacks on our
institutions on September 11, as everyone knows, our economy began to
sink, to plummet to depths that we could not have foreseen. While we
were struggling to right our ship, as it were, the OPEC nations
decided, before the end of the year, before the end of 2001, to cut oil
production, which would have the natural consequence of rising prices
at the gas pump here in the United States and elsewhere. This was an
insult added to injury to have our former allies, like Saudi Arabia and
Kuwait who are part of OPEC, to make certain that prices would rise at
the gas pump in the midst of an economy that was being severely hurt by
what had happened at the World Trade Center and at the Pentagon and in
Pennsylvania.
Imagine my surprise then when, we all know that OPEC has to depend on
the non-OPEC nations to go along with their guidelines, their decisions
on oil production and pricing, et cetera; imagine my surprise, my
pleasant surprise when I learned that Mexico, for instance, was not
going to join with OPEC in this drastic decision that they made.
Well, that was good news for the United States on two fronts: one,
that Mexico, our neighbor to the south, was sticking with the United
States in its hour of economic peril and, in effect saying to OPEC, no
thank you, they will not go along with the price-setting and oil
production cuts that OPEC proclaimed. Imagine my next round of
surprises when not too long after that, Mexico, in a meeting with
Venezuela, decided to jump back into the OPEC pool and there again
indicate to the world that they were going to join OPEC in the cutting
of oil production, thereby having the effect of rising prices at the
gas pump.
Now, this is the same Mexico that said that they would not join with
OPEC. Now they have decided to stick with OPEC; and in doing so, they
slapped us right in the face, because the cut in production of 100,000
barrels per day, or cut of availability to the United States of that
100,000 barrels a day, was an ingredient that caused the rise of prices
that we saw in March of 15 to 17, and some places higher than that, 17
to 20 cents a gallon over a short period of time, and more to come,
because the normal period for rising prices, the summer season, is
already upon us.
Well, I have introduced a resolution just today which would call upon
the President and the administration to again approach our OPEC allies,
as they were, they were allies, Kuwait and Saudi Arabia; as a matter of
fact, we came to their aid, we came to their side against an aggression
by Iraq. We are asking the administration to convince or to try to
convince those allies of ours whom we saved in that particular period
of time to produce what is needed for the consumption in the world
without regard to setting prices and to cutting production to
artificially raise prices while, at the same time, the resolution calls
for extra efforts to convince our neighbor to the south, Mexico, not to
join with OPEC.
Mr. Speaker, the Mexican economy and the Mexican-American border
which we share, all of that depend on a strong American economy. The
Mexican economy itself depends on the American economy. Can my
colleagues imagine that they would take steps to cause rises in the
prices at gas pumps? We must convince them that they should renounce
joining with OPEC now and forever and to remain with the United States
in a hemispheric system to become an economic engine of its own. We do
not need OPEC if Mexico would simply deal with the United States in oil
production.
So this resolution calls for an important foray into Mexican-American
relations, strictly with respect to the OPEC cartel and the insistence
of Mexico to go along with OPEC. We cannot tolerate that.
So whatever comes by way of oil production, if the United States and
Mexico can cooperate one on one in the production of oil and in the
market, sale and pricing of oil, the American economy will be better
off and, therefore, so will the Mexican economy. I ask for Members to
join in this resolution.
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