The trade deficit with Canada that’s upset Trump so much is due to crude the U.S. buys at a discount for the Midwest. ‘It’s the only oil they can use’
- Posted on September 12, 2026
- By Fortune
- 5 Views
- 1 min read
In brief
The U.S.-Canada trade deficit is primarily driven by crude oil imports essential for Midwest refineries. These facilities are specifically engineered to process Canadian heavy crude and lack the infrastructure to switch to alternative sources like Texas or Venezuelan oil. Retrofitting would require substantial capital investment and years of operational disruption, making Canadian crude economically irreplaceable for American energy security and regional refining operations.
Summary auto-generated by AI from the original publisher's content. Editorial standards.
The trade deficit with Canada that’s upset Trump so much is due to crude the U.S. buys at a discount for the Midwest. ‘It’s the only oil they can use’
“They can’t use Texas crude. They can’t use Venezuelan crude. They’re not set up for it. It would take years and billions of dollars to shift over.’’
