Oil prices drop over $2 per barrel due to escalating trade tensions between US and China

From Yahoo Finance: 2025-04-09 21:16:00

Oil prices dropped over $2 per barrel, erasing gains from the previous session, as focus shifted to escalating trade tensions between the U.S. and China. U.S. WTI crude settled at $60.07 per barrel, while Brent crude settled at $63.33 per barrel. President Trump paused tariffs on some countries but raised them against China.

U.S. tariffs on Chinese imports now total 145%, prompting China to impose an 84% tariff on U.S. goods. This is expected to lower U.S. crude imports by China, leading to increased supply and higher U.S. storage levels. U.S. crude oil exports to China fell to 112,000 barrels per day in March.

Higher tariffs could cause significant economic damage globally. U.S. crude stockpiles rose by 2.6 million barrels last week, double analysts’ projections. Macquarie analysts anticipate another build this week. The U.S. Energy Information Administration cut its global economic growth forecasts, warning that tariffs could impact oil prices.



Read more at Yahoo Finance: Oil settles down over 3% as investors reassess Trump’s tariff flip