Republicans weigh two-step plan on energy, taxes

: Coal, Crude oil, Emissions, Natural gas, Oil products
24/12/06

Republicans in the US Congress are considering trying to pass president-elect Donald Trump's legislative agenda by voting first on a filibuster-proof budget package that revises energy policy, then taking up a separate tax cut bill later in 2025.

The two-part strategy, floated by incoming US Senate majority leader John Thune (R-South Dakota), could deliver Trump an early win by putting immigration, border security and energy policy changes into a single budget bill that could pass early next year without Democratic support. Republicans would then have more time to debate a separate — and likely more complex — budget package that would focus on extending a tax package expected to cost more than $4 trillion over 10 years.

The legislative strategy is a "possibility" floated among Senate Republicans for achieving Trump's legislative goals on "energy dominance," the border, national security and extending tax cuts, Thune said in an interview with Fox News this week. Thune said he was still having conversations with House Republicans and Trump's team on what strategy to pursue.

Republicans plan to use a process called budget reconciliation to advance most of Trump's legislative goals, which would avoid a Democratic filibuster but restrict the scope of policy changes to those that directly affect the budget. But some Republicans worry the potential two-part strategy could fracture the caucus and cause some key policies getting dropped, spurring a debate among Republicans over how to move forward.

"We have a menu of options in front of us," US House speaker Mike Johnson (R-Louisiana) said this week in an interview with Fox News. "Leader Thune and I were talking as recently as within the last hour about the priority of how we do it and in what sequence."

Republicans have yet to decide what changes they will make to the Inflation Reduction Act, which includes hundreds of billions of dollars of tax credits for wind, solar, electric vehicles, battery manufacturing, carbon capture and clean hydrogen. A group of 18 House Republicans in August said they opposed a "full repeal" of the 2022 law. Republicans next year will start with only a 220-215 majority in the House, which will then drop to 217-215 once two Republicans join the Trump administration and representative Matt Gaetz (R-Florida) resigns.

By Chris Knight

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25/01/22

Syria issues first post-Assad oil tenders

Dubai, 22 January (Argus) — The new administration in Syria has issued its first tenders to buy crude and refined products since the fall of Bashar al-Assad's regime in December, as acute fuel shortages continue to cause lengthy blackouts in the country. Tenders seeking 3mn bl of light crude for the 140,000 Banias refinery and 1.2mn bl of heavy crude for the 110,100 b/d Homs refinery close for bidding on 27 January. They have a 10pc flexibility either way on the volumes. The Banias refinery is undergoing maintenance at several of its production units after being taken offline last month because of a lack of crude feedstock. Syria's new administration has also issued its first import tender for refined products — 80,000t of 90 Ron gasoline, 100,000t of 10ppm sulphur gasoil and 100,000t of fuel oil — commencing as soon as possible for delivery over a 30-day period. Offers must be delivered by hand to the oil ministry in Damascus by 14:30 local time on 27 January. A tender seeking 66,000t of LPG has been issued as well. A previous tender for 20,000t of LPG was awarded at mid-teen $/t premiums to fob Lavera west Mediterranean prices. Before Assad was toppled, Syria relied heavily on Iran for its oil supplies, as international sanctions imposed in the wake of the 2011 civil war left the country critically short of feedstock for its refineries. Iran's crude exports to Syria averaged around 55,000 b/d in January-November 2024 and around 80,000 b/d in 2023, according to trade analytics firm Kpler. Iran was also sending around 10,000-20,000 b/d of oil products to Syria in recent years, according to consultancy FGE. But Tehran has halted crude deliveries to Syria since the Islamist group Hayat Tahrir al-Sham took control last month , leaving the new transitional government under pressure to find alternative suppliers. Government-to-government deals are a potential option. "Recent political developments have indicated that Qatar, Saudi Arabia and Turkey could play a role in solving Syria's crude and refined products shortage," FGE analyst Palash Jain said. Saudi Arabia is willing to help for a limited period, but discussions remain in a preliminary phase and are light on details, a source with knowledge of the matter told Argus . Riyadh is waiting to hear more from the Syrians on their energy needs and requirements, the source added. The latest tenders come just two weeks after the US waived sanctions that had previously prohibited energy trade with Syria. The waiver, issued on 6 January, is valid until 7 July. By Rithika Krishna and Bachar Halabi Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

US trade deficit with Canada is no 'subsidy': TD Bank

25/01/21

US trade deficit with Canada is no 'subsidy': TD Bank

Calgary, 21 January (Argus) — The US' trade deficit with Canada is largely a result of America's thirst for energy and should not be confused with a "subsidy", according to one of Canada's largest banks today. "With respect to (US president Donald) Trump's assertion that the US subsidizes Canada to the tune of US$200bn per year, it's unclear where this number is derived," TD Economics said today in its Setting the Record Straight on Canada-US Trade report. "In any event, rather than a subsidy, the US trade deficit is a by-product of US economic outperformance relative to other countries. "The bulk of the US trade deficit with Canada is owing to energy," the bank said. "Outside of that, the scales tip into America's favour." The US is on track to record a trade deficit with Canada of roughly C$65bn ($45bn) in 2024, but that would flip to a C$60bn surplus for the US if energy were removed from the equation, said the bank. About 80pc of Canada's 5mn b/d of crude production is consumed by refineries in the US, with many in the Midcontinent having no practical alternative. US gasoline prices would move higher by 30-70¢/USGif the 25pc tariffs that Trump has threatened were applied to Canada's oil, TD Bank projects. But even with energy included, the US' deficit with Canada only represents 4pc of the US' overall trade deficit, meaning "reducing imports from Canada would barely move the needle," according to TD. The two highly-integrated countries exchange about C$3.6bn of goods and services each day, only slightly less than daily US-Mexico trade, the bank said. North American trade disparities have been thrust into the spotlight with Trump threatening tariffs against both of its neighbours. Trump opted not to impose any tariffs immediately when he took office on Monday, as previously threatened, instead pushing potential action against Canada and Mexico to 1 February. Trump said Monday he would immediately begin an "overhaul" of the US trade system to protect domestic workers and to start to "tariff and tax foreign countries to enrich our citizens". Mexican crude could help fill the void left by a reduction in Canadian crude flows, but that would exacerbate the trade deficit that the US has with that country, TD said. Mexico accounts for 20pc of the US' overall trade deficit — five times that of Canada — while China makes up the largest slice of the total US trade deficit, at 30pc, according to TD Bank, which cited official US Census data. The report also highlighted that Canada is the single-largest market for American goods, with at least 34 states selling more to Canada than to any other foreign country. By Brett Holmes Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Winter storm shuts asphalt terminals, hits demand

25/01/21

Winter storm shuts asphalt terminals, hits demand

Houston, 21 January (Argus) — Ports in Texas and Louisiana remained closed to ship traffic Tuesday afternoon because of a winter storm. Waterborne asphalt terminals were heard shut in southeast Louisiana and Texas, and some market participants expect terminals to remain closed through Wednesday. According to vessel tracking data from Kpler, no ocean-going asphalt vessels were seen loading in Texas or Louisiana today. No exports have been heard delayed. Frigid temperatures have also halted liftings at the rack in areas across the Gulf following reports of slow retail demand earlier this month. New Orleans port officials cut off water supplies to port facilities beginning 19 January because of freezing temperatures, significant snowfall and high winds forecast by the National Weather Service (NWS). Operations are expected to be down at least for the rest of today. Marine pilots also suspended boardings at the Texas ports of Houston, Galveston, Texas City and Freeport late on 20 January. Traffic also was halted at the Sabine-Neches Waterway on the Texas-Louisiana border, which offers access to terminals and refineries in Port Arthur and Beaumont, Texas. Port Houston facilities, which include eight public terminals on the Houston Ship Channel, will remain closed through Wednesday, according to a statement from port officials. Arctic conditions are anticipated through Thursday, according to NWS. Travel will be hazardous due to the snow, ice and wind chill of up to 20mph. Even as temperatures rise, retail demand could remain muted on the Gulf coast with NWS forecasting above-normal precipitation across the region starting 27 January. By Meghan Yoyotte and Cobin Eggers Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Trump puts US climate risk disclosures on the outs

25/01/21

Trump puts US climate risk disclosures on the outs

Houston, 21 January (Argus) — US President Donald Trump revoked an executive order by his predecessor on Monday that required federal agencies to take steps to assess climate-related risks to the country's economy. The order revocation comes as part of a flurry of repeals and executive orders from Trump in his first days in office. The move, along with withdrawing the US from the Paris Climate Agreement, is in line with Trump's plans to distance his administration from former president Joe Biden's environmental goals, following campaign promises to focus on a deregulatory agenda and increase US oil production. "Climate extremism has exploded inflation and overburdened businesses with regulation," the executive order said. Biden issued his executive order in 2021 directing the federal government to take steps to assess climate risk impacts on the financial system, homeowners and businesses and then help inform the government and investors of those risks. It also required the identification of public and private financing needs to meet the Biden administration's net-zero emissions target for the US economy by 2050. But some of Biden's plans were already on their way out in the final days of his administration, while others are likely to be revisited by the government under Trump. The US Department of Defense (DOD), National Aeronautics and Space Administration (NASA), General Services Administration (GSA) on 13 January withdrew their proposed rule to amend the Federal Acquisition Regulation, which would have required major federal suppliers to publicly disclose GHG emissions and climate-related financial risk along with setting science-based GHG reduction targets in line with the executive order. The agencies cited a lack of time to finalize the rule, first proposed in 2022, before the end of the Biden administration. The lack of Trump support for federal climate-change disclosures is likely to slow progress on creating a national framework for measuring the impact of climate-change on US financial systems, investments, and housing among other sectors. The impact is likely to leave federal agencies unprepared to handle the aftermath, according to non-profit group Ceres. "Without comprehensive data and planning frameworks in place, federal agencies will be ill-equipped to protect taxpayer investments, ensure continuity of critical services, and build resilience against growing climate-related threats," said Steven Rothstein, managing director of the Ceres Accelerator for Sustainable Capital Markets. With the departure of US Securities and Exchange Commission's (SEC) chairman Gary Gensler on Monday, Trump's Republican replacement, acting chairman Mark Uyeda, will likely revisit the SEC's related disclosure requirements . Under a rule finalized last year, companies publicly listed in the US must begin disclosure of climate-related information by March 2026. But state-level action will continue even if the federal government unravels the previous administration's disclosure requirements. California has already mandated these disclosures. SB 261, signed by governor Gavin Newsom (D) in 2023 , requires companies operating in the state with revenues of $500mn/yr or more to biennially report, starting in 2026, the immediate and long-term climate-related financial risks within their operations and supply chain. The California Air Resources Board is taking public feedback to develop the regulations through July, with disclosures beginning in 2026. New York is also considering similar requirements. By Denise Cathey Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Texas, Louisiana ports closed by winter storm: Update

25/01/21

Texas, Louisiana ports closed by winter storm: Update

Updates status of operations at Port Houston facilities. Houston, 21 January (Argus) — Ports in Texas and Louisiana remained closed to shipping traffic Tuesday afternoon due to a winter storm, a shipping agent said. Marine pilots suspended boardings at the Texas ports of Houston, Galveston, Texas City and Freeport late on 20 January. Traffic also was halted at the Sabine-Neches Waterway on the Texas-Louisiana border, which offers access to terminals and refineries in Port Arthur and Beaumont, Texas, as well as Cheniere's Sabine Pass liquefied natural gas terminal. Pilots also halted traffic at the Louisiana port of Lake Charles late on 20 January. Port Houston facilities, which include eight public terminals on the Houston Ship Channel, will remain closed through Wednesday, according to statement from port officials. Vessel operations may resume at container terminals on Wednesday evening, the statement said. By Tray Swanson Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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