A European energy official ripped dealing with the Trump administration as a waste of time while the White House weighs capping diesel exports.
Politico reported Saturday that the White House is considering curbs on diesel shipments overseas, with options ranging from a full 90-day ban to gradual limits, as prices in the U.S. have climbed from $3.74 to $6.52 a gallon over the past year. The oil and gas industry has fiercely resisted the idea, warning it could hurt American producers in foreign markets.
The official, who represents an Eastern European government and spoke on the condition of anonymity to describe internal discussions, pointed to that industry pushback as proof of how little sway foreign governments hold with the administration.
“If they’re not listening to their own people, why would they listen to us?” the official said.
The official added that a wider diplomatic breakdown had made formal outreach pointless.
“With this administration, official channels tend to be a slow waste of time,” the official said. “And yet that’s exactly why official channels are supposed to work. If everyone tries to get in through the back door, the back door becomes the front door.”
Some in Trump’s own orbit share the concern. An outside adviser to the Trump administration, also granted anonymity, warned the move would undercut the president’s pledge to keep allies supplied with American energy.
“This is going to damage our reputation,” the adviser said. “The whole premise of energy dominance was that the United States would be able to supply our allies around the world. Curtailing that is going to raise question marks.”
Europe has leaned heavily on U.S. diesel since the war with Iran disrupted oil supplies in February. David Jorbenaze, a senior oil analyst at ICIS, said European Union imports rose by 1.5 million barrels a day in August. S&P Global Energy estimates American diesel now meets a tenth of the continent’s demand.
“Removing that source would pull away the leg Europe has been leaning on hardest,” Jorbenaze said.
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