The Financial Post reports in its Monday, Jan. 27, edition that Alberta Premier Danielle Smith stated she will ensure American drivers know who to blame for rising gas prices if U.S. President Donald Trump implements tariffs on Canada. The Post's Rahim Mohamed writes that she noted that prices could spike by 35 cents to 75 cents per gallon. Analysts predict that such tariffs would significantly raise gasoline costs in the Upper Midwest, a vital electoral region. Fifteen Midwestern states, including swing states Wisconsin and Michigan, depend entirely on Canadian oil. Mr. Trump, however, downplayed the concerns, claiming the U.S. has sufficient domestic oil and gas resources. The region is also home to a dense network of refineries that are rigged to process the heavy crude that flows from north of the border.
Ms. Smith noted that stakeholders like the American Petroleum Institute (API) are already highlighting the synergy between Canadian crude and U.S.-based refineries, and the impact a cross-border tariff would have on gasoline prices. "Obviously API is willing to point that out," said Ms. Smith. API members include TC Energy, Ovintiv, Enbridge, Chevron, Exxon Mobil and Pembina Pipeline.
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