Oil Prices Slide As China Imposes 25% Tariff On U.S. Oil

Oilprice.com ^ | 08-08-2018 | Para

[kjam22]

Wait... so Tariffs lowered the price??? What?

[rlmorel]

LOL, Russia must be eating Cheerios now that someone peed in!

[TheZMan]

If we’re less likely to export, we end up with an abundance. High supply.

[kjam22]

And the problem is?

[MNJohnnie]

Wow that about as stupid a move as you could make. Create your own oil embargo on your own economy.

[barmag25]

The Chinese are being led by communists. Not business men. They have no idea what they are doing.

[MeganC]

“Wait... so Tariffs lowered the price??? What?”

Yes it did. Because the Chinese will now buy almost no US oil then that means the global supply of oil increases by that much. And that reduces prices for Americans.

TRUMP WINS AGAIN!!! MAGA!!!!

[Okeydoker]

Less stuff shipped overseas means greater supply at home thus lowered prices.

[Berosus]

Knowing how much oil China consumes, this is going to hurt them more than us.

[kjam22]

And the problem is...?

[Williams]

China needs oil. We have cheap oil. China will hurt its economy with this tariff.

[spokeshave2]

Ha...they can buy oil from Cuba and Venezuela.

[NorthMountain]

China said on Wednesday that it would impose a 25-percent tariff on U.S. imports worth US$16 billion, including crude oil, diesel, cars, coal, and steel products

That'll sure Make China Great Again.

[AdmSmith]

According to this https://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=MCREXCH2&f=M the U.S. export to China started in OCT2016 and was 427 Thousand Barrels per Day in May. It looks as it was decided by China to adjust the trade deficit. Now they are signaling that they have no intention to buy more.

[kjam22]

China’s leaders are trying to “save face”. Trump will break them.....

[Tenacious 1]

“We’ll show those Americans. We don’t need no stinking oil. Our economy doesn’t need energy at all.”

They should build windmills. They make em. They should use them.

[dead]

This strategy seems very much like a kid holding his breath to get his way. It’s got some fundamental flaws that present insurmountable obstacles, preventing the desired result.

[glorgau]

Oh well, they can only impose tariffs on so much, the US can go much deeper down that well.

[NorthMountain]

Nonsense. Tariffs protect the domestic industry of the country which imposes them. They’re great for domestic industry; they make the economy just absolutely take off.

I know this, because I read FR all the time.