Oklahoma oil and gas industry keeping close eye on trade war
EXPERTS. OKLAHOMA IS A TOP CONTRIBUTOR TO OUR NATION’S CRUDE OIL SUPPLY. 2023 THE STATE PRODUCED 418,000 BARRELS A DAY, ABOUT THREE TIMES MORE ENERGY THAN OKLAHOMA CONSUMED. BECAUSE OF OKLAHOMA’S ROLE IN OIL AND GAS. LOCAL ECONOMISTS SAY THE IMPACT OF TARIFFS COULD HIT HARD AT HOME. IN FACT, OKLAHOMA IMPORTS ABOUT $9 BILLION WORTH OF OF GOODS FROM CANADA AND ABOUT SEVEN PLUS BILLION OF THAT IS CRUDE OIL. AND SO IT REALLY IS GOING TO IMPACT OKLAHOMA. WE BRING IT INTO REFINERIES AROUND CUSHING, AND WE REFINE THAT INTO OTHER BYPRODUCTS. THE CANADIAN IMPORT TARIFF IS ABOUT 25% NOW. AND SO IT’S GOING TO RAISE THE PRICE THERE FOR IMPORTED OIL FOR CERTAIN. SO WHY DOES ALL THIS MATTER? WELL, ECONOMISTS SAY IT COULD IMPACT YOU HERE AT THE PUMP AS CRUDE OIL PRICES FALL. THAT NEGATIVELY IMPACTS OUR OIL PRODUCERS, OUR OIL INDUSTRY IN THE STATE OF OKLAHOMA. NOW. NOW IT COULD BENEFIT CONSUMERS. ON THE FLIP SIDE, IF IF, YOU KNOW, GASOLINE PRICES FALL OR DIESEL PRICES FALL. BUT I THINK THE OVERALL IMPACT OF THE INCREASED TARIFFS ARE GOING TO NEGATE THAT BECAUSE, YOU KNOW, WE’RE GOING TO SEE HIGHER PRICES IN EVERYTHING ELSE. WE REACHED OUT TO THE PETROLEUM ALLIANCE OF OKLAHOMA AND THEY TOLD US THEY CAN’T COMMENT BECAUSE THE BOARD OF DIRECTORS HASN’T COME TO A CONCLUSION. IF THE TARIFFS ARE GOOD OR BAD FOR THEIR INDUSTRY I
Oklahoma oil and gas industry keeping close eye on trade war
One of the industries most closely watching the current trade war and tariff drama is the thousands of Oklahomans who work in the state’s oil and gas industry
Updated: 7:49 PM CDT Apr 10, 2025
One of the industries most closely watching the current trade war and tariff drama are the thousands of Oklahomans who make up the state’s oil and gas industry.>> Download the KOCO 5 app | Subscribe to KOCO 5’s YouTube channelOklahoma is a top contributor to our nation’s crude oil supply. In 2023, the state produced 418,000 barrels a day, about three times more energy than Oklahoma consumed.Because of Oklahoma’s role in oil and gas, local economists say the impact of tariffs could hit hard at home.“Oklahoma imports about $9 billion worth of goods from Canada, and about $7 billion-plus of that is crude oil, so it really is going to impact Oklahoma. We bring that into refineries around Cushing, and we refine that into other byproducts,” said Steve Agee, a dean emeritus and professor of economics at Oklahoma City University. “The Canadian import tariff is about 25% now and so it’s going to raise the price there for imported oil for certain.”Economists said the biggest impact could be at the gas pump.“As crude prices fall that negatively impacts our producers. Our oil industry in Oklahoma. Now, it could benefit consumers on the flip side if gasoline prices or diesel prices drop, but I think the overall impact of the increased tariffs are going to negate that because we’re going to see higher prices in everything else,” Agee said.Get the latest news stories of interest by clicking here.KOCO 5 reached out to the Petroleum Alliance of Oklahoma, with officials saying they couldn’t comment because their board of directors hasn’t come to a conclusion if the tariffs are good or bad for their industry.Top HeadlinesWhat products could be most impacted by the new 125% tariff against China?OSDH: Potential measles exposure occurred at Oklahoma City grocery storeThe Boys from Oklahoma concert event is set to kick off. What you need to knowOHP identifies person killed in 3-vehicle DUI crash on I-40
One of the industries most closely watching the current trade war and tariff drama are the thousands of Oklahomans who make up the state’s oil and gas industry.
>> Download the KOCO 5 app | Subscribe to KOCO 5’s YouTube channel
Oklahoma is a top contributor to our nation’s crude oil supply. In 2023, the state produced 418,000 barrels a day, about three times more energy than Oklahoma consumed.
Because of Oklahoma’s role in oil and gas, local economists say the impact of tariffs could hit hard at home.
“Oklahoma imports about $9 billion worth of goods from Canada, and about $7 billion-plus of that is crude oil, so it really is going to impact Oklahoma. We bring that into refineries around Cushing, and we refine that into other byproducts,” said Steve Agee, a dean emeritus and professor of economics at Oklahoma City University. “The Canadian import tariff is about 25% now and so it’s going to raise the price there for imported oil for certain.”
Economists said the biggest impact could be at the gas pump.
“As crude prices fall that negatively impacts our producers. Our oil industry in Oklahoma. Now, it could benefit consumers on the flip side if gasoline prices or diesel prices drop, but I think the overall impact of the increased tariffs are going to negate that because we’re going to see higher prices in everything else,” Agee said.
Get the latest news stories of interest by clicking here.
KOCO 5 reached out to the Petroleum Alliance of Oklahoma, with officials saying they couldn’t comment because their board of directors hasn’t come to a conclusion if the tariffs are good or bad for their industry.
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