Oil Companies Wanted Trump to Lower Costs. Tariffs Are Raising Them

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The cost of steel pipe used to line oil and gas wells rose after President Trump said he would impose tariffs on steel and aluminum imports...

A planned 25 percent tariff on imported steel, set to take effect March 12, is very consequential to U.S. oil and gas producers, whose wells often stretch miles into the earth. The steel pipe that they use to line those holes can account for 10 percent of the total well cost.

https://archive.ph/ShuaP

[impulse]

1 hour ago, placeholder said:

The cost of steel pipe used to line oil and gas wells rose after President Trump said he would impose tariffs on steel and aluminum imports...

A planned 25 percent tariff on imported steel, set to take effect March 12, is very consequential to U.S. oil and gas producers, whose wells often stretch miles into the earth. The steel pipe that they use to line those holes can account for 10 percent of the total well cost.

https://archive.ph/ShuaP

 

So they're increasing the cost of drilling a well by 2.5%, if they use imported steel.  Big whoop. 

 

Maybe they'll buy American steel, made by Americans, paying American taxes and supporting American communities?

 

[JimHuaHin]

Message to US-based oil companies - karma can be a bitch sometimes.

 

I am not crying.

[impulse]

1 hour ago, JimHuaHin said:

Message to US-based oil companies - karma can be a bitch sometimes.

 

I am not crying.

 

You think they're butthurt now that the Keystone pipeline has been given the green light?   And regulations that stopped drilling are being rescinded?

 

The 25% tariff on imported steel will have minimal effect, and only if they use imported steel.

 

[Harrisfan]

1 hour ago, impulse said:

 

So they're increasing the cost of drilling a well by 2.5%, if they use imported steel.  Big whoop. 

 

Maybe they'll buy American steel, made by Americans, paying American taxes and supporting American communities?

 

Common sense. Not common online.

[Yagoda]

The price of gas is cheaper that it was when I left last June.

[RuamRudy]

1 hour ago, impulse said:

 

So they're increasing the cost of drilling a well by 2.5%, if they use imported steel.  Big whoop. 

 

Maybe they'll buy American steel, made by Americans, paying American taxes and supporting American communities?

 

 

Do you think that the price of US steel going to remain static as demand for it increases?