Oil prices steady as trade hopes offset demand concerns

April 15, 2025 (MLN): Oil prices were broadly stable on Tuesday after new tariff exemptions floated by U.S. President Donald Trump and a rebound in China's oil imports were offset by the IEA following OPEC in cutting its oil demand forecast.

Brent crude futures decreased by $0.3, or 0.46%, to $64.58 per barrel. 

West Texas Intermediate (WTI) crude futures fell by $0.10, or 0.16%, to $61.43 per barrel by [4:00 pm] PST. 

Trump said he was considering a modification to the 25% tariffs imposed on foreign auto imports from Mexico and other places.

The vacillating U.S. trade policies have created uncertainty for global oil markets and prompted OPEC on Monday to lower its demand outlook for the first time since December.

The International Energy Agency (IEA) on Tuesday also cut its forecasts for global oil demand growth to 730,000 barrels per day (bpd) this year from 1.03 million bpd and to 690,000 bpd next year due to escalating trade tensions.

"The market is digesting fast-moving policy developments on the tariff front, while balancing them with nuclear talks between the U.S. and Iran," said ING analysts in a note on Tuesday.

U.S. Energy Secretary Chris Wright said on Friday the United States could stop Iranian oil exports as part of Trump's plan to pressure Tehran over its nuclear programme, as Reuters reported.

Also supporting prices were data on Monday showing that China's crude oil imports in March were up nearly 5% from a year earlier, as arrivals of Iranian oil surged.

Kazakhstan said on Monday that its oil output fell 3% in the first two weeks of April from the March average, confirming a Reuters report, although its production remained well above its OPEC+ quota.

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