The American oil industry is in crisis. This is undeniable. Some folks will point out this isn’t the first serious downturn for the oil industry, and it won’t be the last. True enough. But this one IS different. Not in recent memory (at least a generation) has there been both a shock in the supply picture (Saudis and Russians fully opening up the taps) and a shock in the demand picture (very little travel due to the pandemic). We at MDN have taken a view in favor of a tariff on imported foreign oil to encourage better behavior. Now comes a tweak to the tariff strategy.
The American oil industry is in crisis. This is undeniable. Some folks will point out this isn’t the first serious downturn for the oil industry, and it won’t be the last. True enough. But this one IS different. Not in recent memory (at least a generation) has there been both a shock in the supply picture (Saudis and Russians fully opening up the taps) and a shock in the demand picture (very little travel due to the pandemic). We at MDN have taken a view in favor of a tariff on imported foreign oil to encourage better behavior. Now comes a tweak to the tariff strategy.