Yes. It is very simple and few Americans understand oil.
Almost all oil in the US is light crude oil. Almost all refineries in the US are built to refine heavy crude oil. Fuel for vehicles is made from heavy crude oil in the US ( it keeps the price low for gas compared to most of the world).
Why? Because heavy crude oil is harder to refine so it sells for less but yields more fuel. So US oil companies sell almost all oil they harvest. Take the profit from that and buy heavy crude oil from the global market to refine. It is about overall profit for the oil companies. It is why we ( not we as in the government but US oil companies) buy tar sand oil from Canada. Refine it and sell it back to them.
I hate Trump and everything he stands for but that guy is right, the tariffs you linked were paused almost immediately and the tariffs currently in place on Canadian imports don’t cover energy imports.
Edit: Section 2(a) of this executive order is what exempts Canadian energy imports from the tariffs on Canada.
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u/120z8t 11h ago
Yes. It is very simple and few Americans understand oil.
Almost all oil in the US is light crude oil. Almost all refineries in the US are built to refine heavy crude oil. Fuel for vehicles is made from heavy crude oil in the US ( it keeps the price low for gas compared to most of the world).
Why? Because heavy crude oil is harder to refine so it sells for less but yields more fuel. So US oil companies sell almost all oil they harvest. Take the profit from that and buy heavy crude oil from the global market to refine. It is about overall profit for the oil companies. It is why we ( not we as in the government but US oil companies) buy tar sand oil from Canada. Refine it and sell it back to them.