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Oil, Gas, or Tariffs: Trump’s High-Stakes Game with European Allies

President-elect Donald Trump has issued a stark ultimatum to the European Union: increase purchases of American oil and gas or face tariffs. Trump’s demand aims to address the trade deficit between the US and EU, which reached $131.3 billion in 2022. While the EU has already significantly increased its imports of US hydrocarbons in recent years, ramping up purchases to the level Trump suggests faces numerous practical constraints.

Original Source: Bloomberg

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An empty bank vault with a single gold bar on a bare shelf, symbolising the absence of gold backing in the modern fiat currency system.
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Senate Banking Committee hearing room during the Kevin Warsh Federal Reserve chair confirmation hearing, April 2026. Senators seated at the curved wooden dais, with press photographers and attendees visible in the foreground
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