Oil prices climbed on Monday, even as investors weighed United States President Donald Trump’s latest tariff threats, which could dampen global economic growth and energy demand.
By 3 pm AEDT (4 am GMT) Brent crude futures rose $0.47 or 0.6%, to $75.09 a barrel, while U.S. West Texas Intermediate (WTI) crude gained $0.37 cents, or 0.5%, to $71.37 per barrel.
Despite Monday’s uptick, the market remains under pressure after logging a third consecutive weekly decline over global trade concerns.
Trump announced plans to impose 25% tariffs on all steel and aluminium imports, further escalating trade tensions. The move follows last week’s tariff announcements on Canada, Mexico, and China, though duties on U.S. neighbours were temporarily suspended.
Meanwhile, China’s retaliatory tariffs on certain U.S. exports are set to take effect on Monday, with no signs of progress in negotiations between Washington and Beijing.
Oil and gas traders are reportedly seeking waivers from Beijing for U.S. crude and liquefied natural gas (LNG) imports.
Trump stated on Sunday that the U.S. is making progress with Russia on ending the Ukraine war but did not provide specifics regarding discussions with Russian President Vladimir Putin.
Further complicating supply dynamics, the U.S. Treasury last week imposed new sanctions targeting Iranian crude shipments. The measures apply to individuals and tankers involved in transporting millions of barrels of Iranian oil annually to China.
