The new tariffs charged by U.S. President Donald Trump on imports from Canada, Mexico
China are possible to have a restrained near-term impact on global oil and gas charges, Goldman Sachs stated in a note Sunday.
“Potential tariff-pushed decline in U.S. Natural gas imports from Canada is just too small to absolutely increase U.S. Natural gas cost,” the bank stated.
Oil and gas expenses leaped on Monday after Trump charged tariffs over the weekend.
The tariffs, which will take impact on Feb. 4, consist of a 25% levy on most items from Mexico and Canada, with a 10% tariff on energy imports from Canada, and a 10% tariff on Chinese imports.
“Canadian oil manufacturers are anticipated to ultimately bear maximum of the load of the tariff with a $3 – $4 a barrel wider than normal reduction on Canadian crude given restrained optional export markets, with U.S. Customers of refined products bearing the remaining $2 – $3 a barrel burden,” the bank stated.
According to the be aware, seaborne oil imports from Canada and Mexico will be rerouted to different markets, with the U.S. substituting those supplies with crude from OPEC, Latin America, and refined products from Europe.
The investment bank saved its 2025/2026 oil rate forecasts unchanged, awaiting minimum near term charge effects due to stable worldwide oil manufacturing and need, in addition to the Canadian oil tariff already being priced in.
Last week, Goldman Sachs elevated Brent oil price forecast for this year and 2026 to $78 (versus $76 already) and $73 (from $71), respectively.
Trump stated he would talk with leaders of Canada and Mexico, that have declared retaliatory tariffs of their own, but downplayed expectations that they might alternate his mind.
In a separate notice, Goldman Sachs analysts stated that U.S. tariffs on Mexico and Canada may be quick-lived.
