Oil hits one-month high as Trump threatens tariffs on countries trading with Iran
Oil rose to the highest since early December after Trump threatened 25% tariffs on countries “doing business” with Iran, raising fears of supply risk and trade tensions.
Oil prices climbed to their highest levels in more than a month after US President Donald Trump said he would impose a 25% tariff on goods from countries that “do business” with Iran, a move that has raised fears of renewed trade tensions and supply risks.
Bloomberg reported that West Texas Intermediate (WTI) rose towards US$60 a barrel after gaining more than 6% over the previous three sessions, while Brent was trading below US$64.
Trump wrote on social media that the tariff would take effect “immediately”, without providing details on its scope or how it would be enforced.
Bloomberg warned the policy could raise the risk of a fresh US-China trade clash, given that China is the world’s largest crude importer and a major buyer of Iranian oil.
The report added that unrest in Iran — OPEC’s fourth-largest producer — has heightened concerns about possible supply disruptions, prompting traders to ramp up hedging against further price spikes.
Latest prices cited by Bloomberg:
- WTI February futures rose 0.4% to US$59.72 a barrel at 7.21am Singapore time.
- Brent June futures were up 0.8%, with Bloomberg citing a Monday close of US$63.87 a barrel.
