American oil and gas development has transformed the global energy market, bringing huge benefits to the United States. While the United States is, and will remain, a part of a complex global market, skyrocketing domestic production has drastically changed the landscape by way of buffering the United States from price spikes, increasing energy security and lowering energy costs.

As Charles Ebinger, Senior Fellow at the Brookings Institution, states:

“With the surplus of natural gas and crude oil beyond our domestic needs, we also have the opportunity to help alleviate the dependency of our major trading partners in Europe and Asia on more politically insecure regions of the world.”

A recent report from Fitch Ratings highlights how U.S. shale development has also helped moderate global oil prices. From the report:

“…all oil-consuming countries benefit from the stabilizing effect of increased U.S. output on world oil prices. This is the benefit of energy interdependence — the linkage of U.S. and world oil markets through reduced imports of crude and increased exports of products.”

The significance of this turnaround cannot be understated. Not too long ago, the United States was a net importer of energy resources and was preparing to import even more by constructing LNG import facilities along our coasts. Thanks to shale development, the United States will be near energy self-sufficient by 2035, according to the International Energy Agency. President Barack Obama emphasized this turnaround his most recent State of the Union Address when he highlighted that, for the first time in twenty years, the United States produces more oil at home than it buys from the rest of the world.

Production from shale development has insulated the United States from price spikes while providing cost savings for American consumers – that’s something we can all be thankful for.

Check out EID’s new video – “American Shale Revolution Transforms Global Energy Market” – to learn more.