Written by Nicole Gao
NEW YORK (Reuters) – Retail gas prices in the United States are scheduled to climb in the coming weeks, raising the new definitions imposed by the administration of President Donald Trump, the cost of energy imports, according to merchants and analysts.
The future view emphasizes an unintended result of Trump’s protectionist policies, which aims to enhance the American economy but may instead lead to greater bills for consumers.
25 % tariffs on all imports of Mexico, 10 % tariffs on Canadian energy and double duties on Chinese goods to 20 % entered into force on Tuesday. The Trump administration also imposed 25 % definitions on all other Canadian imports.
This has already led to an increase in wholesale gasoline prices in the northeastern United States, a region that relies heavily on Canadian shipments of gasoline, heating oil and diesel, according to the Taleergy fuel distributor.
Retail experts said this height will start liquidation to New England pumps, and can add 20 to 40 cents to the gallon.
“If you fill in the northeast, you will see an increase in prices first and more important,” Patrick de Han said in a blog on Tuesday.
De Han said that the Canadian Sufy Irving Oil, the highest supplier of refined fuel to the northeast, increased the prices of fuel products on Tuesday to reflect the costs of customs tariffs.
Irfing oil actor was not immediately available for comment. The company has already said that the definitions will force their prices to US agents.
Irfing Refinery 320,000 barrels per day in St. John, New Bronzwek, emit more than half of the final fuel to the northeast, as the company’s website appears.
“There is no simplicity of a simple alternative to the products that are shipped from the Irving Oil refinery. This is the basic display point for multiple stations in the region,” Takirg said in one of the market comments published on Tuesday morning.
Experts said that other areas that rely heavily on crude oil imports from Canada and Mexico will soon witness a rise in fuel prices.
The United States imports about 4 million barrels per day of Canadian oil, 70 % of which are treated by refineries in the Middle West specifically designed to operate Canadian grades.
The United States is also importing more than 450,000 barrels per day of Mexican oil, especially for resorts concentrated around the US Gulf coast.
De Han said that the impact on the prices of pumps in these areas may take longer to achieve it, as it must first be refined by crude oil to fuel products.
Alex Ryan, Kansas -based Oasis Energy, told Reuters that parts of the Middle West could witness a 10 to 15 percent jump in the next few weeks.
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