The United States was afraid to impose duties on oil and gas from other countries

Donald Trump announced the introduction of large-scale retaliatory duties on imports from other countries. However, energy resources fell under exceptions. Previously, only Canada received a 10% duty. As the largest exporter of oil and gas, the United States may fear retaliatory duties, experts believe. They do not rule out that other countries will introduce them anyway, as China has already done, imposing 15 percent tariffs on American LNG.

US President Donald Trump announced the introduction of large-scale retaliatory duties to other countries. They ranged from 10% to 49%. However, energy resources, including oil and gas, did not fall under the duties. The executive order says that copper, pharmaceuticals, semiconductors, wood products, some critically important minerals, as well as energy resources and energy products fall under the exceptions. This does not apply to Canada, which previously received 10% duties on energy resources.

"We welcome President Trump's decision to exclude oil and natural gas from new duties, highlighting the complexity of integrated global energy markets and the importance of America's role as a net exporter of energy carriers. We will continue to work with the Trump administration on a trade policy that supports American energy dominance," American Petroleum Institute President Mike Sommers said in a statement. The organization lobbies for the interests of the US oil and gas industry.

"Despite the fact that the United States is the world's largest producer and exporter of oil, the country is also a major importer of raw materials. Oil could have been excluded from duties in order to avoid an increase in domestic prices for petroleum products," says Igor Yushkov, a leading analyst at the FNEB and an expert at the Financial University under the government of Russia.

The United States exports light oil, and buys heavy oil, for which part of the American refineries are set up.

Perhaps the United States has decided not to provoke other countries to impose duties on American oil and LNG, a leading analyst at FNEB believes. However, he believes, this is what we can see in the near future.

"China has already introduced (15% on LNG from the USA) and can raise it even higher — to a barrier size," Igor Yushkov added.

Chinese companies are contracted with American LNG, but can resell it to others, avoiding duties. Other countries may not have such an opportunity, since the supply on the gas market after Gazprom's supply to Europe is reduced is limited, and American companies are leaders in expanding production.