CAPP Statement: No one wins with energy tariffs
“Placing a 25 percent tariff on Canadian oil and natural gas would have immediate negative impacts on Canadians and Americans and we are encouraging governments on both sides of the border to avoid placing increased costs on our economies and consumers.
Oil and natural gas and related products make up one quarter of all Canadian exports with the vast majority of those going to the United States. Canada provides about 99 percent of all the natural gas imported by the U.S. and about 60 percent of oil imports. Midwest U.S. refineries, which supply gasoline, diesel and other products across the country, rely on Canadian oil. Much of the Pacific northwestern U.S. relies on Canadian natural gas.
A tariff on Canadian energy starting in January would spike energy costs for American consumers, increasing gasoline prices and the cost to heat their homes right in the middle of winter. In Canada, a 25 percent tariff could lead to a decrease in oil and gas production as suddenly selling to our biggest customer would become uneconomic.
No one wins with a tariff on Canadian energy. Our countries have an over 100-year partnership in energy trade that has supported economic prosperity for citizens on both sides of the border. We look forward to providing the oil and gas industry’s voice for a coordinated approach to this challenge.”
• Lisa Baiton, CAPP President and CEO
Canada should build a tariff proof economy
The benefits of North American energy interdependence
