Oil producers under pressure in 2025

Trump may get his wish for cheaper oil, but prices will more likely be driven by fundamentals than policies

Nobody could accuse President Trump of being dull. His campaign slogan “drill, baby, drill” is being repeated even after the January inauguration. Regulations are being relaxed to allow oil and gas companies to invest in expanding production. The Strategic Petroleum Reserve will, apparently, be re-filled to capacity—an increase of nearly 300m bl from today’s level. Tariffs are promised against Canada, China, Mexico and the EU, among others, to force them to either export less to the US or import more from the US. Sanctions against Iran, Russia and Venezuela might be toughened in the coming months. And this could be just the start. Ultimately, for all the sound and fury of Trump’s initiatives