USMCA Advances America’s Energy Security
Posted December 19, 2019
Last week, House Democrats and the Trump administration announced a bipartisan deal on the U.S.-Mexico-Canada Agreement (USMCA), concluding the year-long debate and setting the stage for congressional approval. Today, it heads to the House floor, bringing the agreement one step closer to reality.
From an energy perspective, the case for finalizing USMCA is strong, and as we’ve said, its approval is essential to economic progress and energy security. Because North America’s energy markets are interdependent and multi-directional, integration will result in more affordable energy for consumers in all three countries.
Trade with Canada and Mexico supports 12 million U.S. jobs, according to the Business Roundtable, and totaled nearly $1.3 trillion in 2017. Our neighbors are among the top export markets for American crude oil, gasoline, fuel oil and refined products, and numerous U.S. refineries rely on heavy crude oil from Canadian and Mexican suppliers. As North America achieves self-sufficiency with respect to liquid fuels, and provided that the products flow freely, the U.S. is positioned to become increasingly energy secure.
API President and CEO Mike Sommers on the latest bipartisan the agreement:
“Canada and Mexico are our top energy partners, and maintaining the tariff-free flow of natural gas, oil and refined products will help ensure that American families have continued access to affordable and reliable energy, strengthen U.S. energy leadership and grow the economy. This isn’t just about the potential impact to the U.S. energy industry – but also to small businesses, manufacturers and U.S. jobs.”
In 2019, decades of future-focused energy policies culminated in the U.S. becoming the leading producer of natural gas and oil and a net exporter of total energy for the first time since the 1950s. International trade and free markets are necessary to sustaining and growing the potential of America’s natural gas and oil industry – and to sharing the economic and environmental benefits of energy abundance with our allies.
Fair and balanced trade agreements support U.S. businesses across sectors and millions of good-paying jobs, and that’s why we’re urging the administration and Congress to promptly finalize USMCA.
About The Author
Sam Winstel is a writer for the American Petroleum Institute. He comes to API from Edelman, where he supported communications marketing strategies for clients across the firm’s energy and federal government practices. Originally from Dallas, Texas, Sam graduated from Davidson College in North Carolina, and he currently resides in Washington, D.C.
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