Pipeline Politics: U.S. Corporations Lead Foreign Economic Policy

The United States industrial base has an overwhelming impact on foreign economic policy. U.S. multinational corporations, especially those in industries vital to the security of the nation, wield enormous power and influence on government policy. In fact, it is industry that is most often the first unofficial American ambassador to enter regions of the world not yet fully integrated into the global community or economy. The U.S. petroleum industry highlighted the importance of the Caspian Sea basin and the Central Asian states of the former Soviet Union. They established links and ties with regional heads of state and negotiated their own agreements in an attempt to corner as much of this new market as possible. Their interest and long-term commitment to the basins nations has forced the U.S. government to address the region and even rethink some of its policies concerning it. The pipeline politics of the Caspian Sea region are leading U.S. policy. The U.S. petroleum industry opened the door and paved the path for U.S. diplomatic and economic engagement in the Caspian Sea basin. Industry obviously operates to achieve its own self-interests. However, vital national industries and the U.S. government cannot operate independently of each other for extended periods. Industry will often lead the country into a region in search of profits, but ultimately establishes an opportunity, or a requirement, for the U.S. government to formally address the region in pursuit, or protection, of national goals and interests.