A view shows disused oil pump jacks at the Airankol oil field operated by Caspiy Neft in the Atyrau Region, Kazakhstan April 2, 2025.
Pavel Mikheyev | Reuters
Crude oil futures fell more than 2% on Thursday, as President Donald Trump’s steep tariffs on China overshadowed his 90-day pause on higher rates for most other countries.
U.S. crude oil fell $1.76, or 2.8%, to $60.59 per barrel, while global benchmark Brent was down $1.72, or 2.6%, to $63.76 per barrel.
Crude prices rallied Wednesday after Trump announced a lower, temporary tariff rate of 10% on most U.S. trade partners. Trump said he was open to negotiating deals with countries that don’t retaliate. West Texas Intermediate swung 13% from the session low to close at $62.35 per barrel.
But Trump’s decision to increase tariffs on China, the world’s second-largest economy and biggest crude importer, to an eye-watering 125% weighed on the market Thursday.
“The tariffs on China are now higher — that’s still pretty significant,” said Jim Burkhard, head of oil market research at S&P Global Commodity Insights. “These negotiations with all these different countries — can the U.S negotiate with 70 countries all at once? I don’t think the chaos is over.”
