Trump’s Latest Executive Orders May Be Burdensome for Oil
Oil-services giant Halliburton Co. told employees to stay put. An oil trade group is concerned by the proposed border tax. Another global oil company is reconsidering whether to place a crude trader in Houston. And universities that train energy workers across the country estimated that hundreds of students may be affected.
Of all the energy sectors that may feel the pain of President Donald Trump’s executive orders, including temporarily banning people from seven majority-Muslim countries and raising border tariffs, oil and natural gas companies — industries he vowed to help during his election campaign — stand to be hit the hardest. On Monday, energy companies led declines in the Standard & Poor’s 500 Index. The American Petroleum Institute said Tuesday it was “concerned” by Trump’s border tax adjustment.
“Oil and gas is going to have the most heartburn from this,” Michael Webber, deputy director of the Energy Institute at University of Texas at Austin, said by phone Monday. “Other parts of the energy sector, like the electricity sector, are more domestically situated with its workforce and its assets.”
Just last week, Trump said during a speech that he’d work to “unleash the full power of American energy.” On Monday, energy companies — from oil and gas explorers to electric utilities — withheld comment while working to assess the impact of his immigration order on their businesses.
Written by Ryan Collins and David Wethe