ABSTRACT

U.S. Trade Deficit and the Impact of Changing Oil Prices [Updated January 30, 2020]   [open pdf - 1MB]

From the Document: "Exports and imports of petroleum products and changes in their prices have long had a large impact on the U.S. balance of payments, often serving as a major component in the U.S. trade deficit. Over the past decade, however, this has changed. Currently, petroleum prices are having less of an impact on the U.S. balance of payments primarily due to the growth in U.S. exports of petroleum products; in September, October, and November 2019, U.S. exports of petroleum products exceeded imports. While this represents a major step in achieving energy independence, the United States remains a major net importer of crude oil and questions remain about the sustainability of some U.S. energy exports. The share of petroleum products in the overall U.S. trade deficit has fallen from around 47% in December 2010 to - 1.3% in November 2019. Recently, imported petroleum prices fell from an average of $58.86 per barrel of crude oil in 2018 to an average price of $53.48 per barrel in the January through November period of 2019, or a decline of 9.0%. Average prices rose to $60.00 per barrel in May 2019, following the annual trend of rising energy prices heading into the summer months, before declining in the fall and winter. Energy prices respond to both geopolitical events and long-term economic trends in demand and supply of energy products."

Report Number:
CRS Report for Congress, RS22204
Author:
Publisher:
Date:
2020-01-30
Series:
Copyright:
Public Domain
Retrieved From:
Congressional Research Service: https://crsreports.congress.gov/
Format:
pdf
Media Type:
application/pdf
URL:
Help with citations