Over the weekend, Trump followed through on his long-threatened 25% tariffs on imports from Canada and Mexico, as well as a 10% duty on goods from China. Energy resources from Canada will be subject to a lower 10% tariff.
While crude markets will see higher prices and consumers will be forking out more for gasoline and diesel costs in the near term, the spike is only temporary, oil watchers told CNBC.
“While the initial move on crude oil is upward, a cycle of tariffs and retaliatory actions by Canada, Mexico, China and perhaps others in the future could lead to a worldwide recession, causing oil prices to plummet,” Andy Lipow, President of Lipow Oil Associates told CNBC.
The tariffs have not resulted in any oil supplies being taken off the market, and will result in a redistribution of supplies as Mexico and Canada look to divert their volumes to Europe and Asia, Lipow added. Meanwhile, U.S. refiners will be looking to process more domestic crude oil while seeking Middle East alternatives.
Canada to bear the brunt
Both Canada and Mexico have limited spare refining capacity or alternative export routes, and the tariffs will likely push oil producers in both countries into steep price discounts, said Saul Kavonic, head of energy research at MST Marquee.
Canadian oil producers will eventually bear the brunt of the tariffs’ burden with a $3 to $4 per barrel discount on Canadian crude given the limited alternative export markets, Goldman Sachs wrote in a note dated Sunday.
In the medium term, Goldman’s analysts also expect that broad tariffs will impact global GDP as well as oil demand, weighing down oil prices.
Additionally, global oil prices could drop further after the next quarter as tariffs worsen the demand picture and OPEC+ faces increasing pressure from Trump to reverse production cuts, said Kavonic. Trump recently stated that he is urging Saudi Arabia and OPEC to lower oil prices.
The oil cartel, which is slated to meet on Monday, has yet to respond to Trump’s request. OPEC+ has been withholding 2.2 million barrels per day from the global market to stem falling prices. In December, the group decided to extend its production cuts through at least March 2025 before phasing them out gradually over the course of a year.
Volkswagen CEO Thomas Schäfer has confirmed the company’s plans to develop a full range of “monster” electric hot-hatches, including an all-new electric Golf GTI that will stay true to its iconic namesake with a boxy profile and, of course, front-wheel drive.
After months of conjecture, VW CEO Thomas Schäfer says an all-electric hot-hatch version of the company’s next-generation Golf is, in fact, coming soon. What’s more, Schäfer told the UK’s Auto Express that “it’ll be a monster car.”
And the new Golf GTI? He says it’s just the beginning. “We’ll bring through a whole group of GTI, starting with the ID.2 GTI which is the first one coming electrically,” Schäfer told Phil McNamara. “When we started this journey, [we told the] the development teams, ‘we’ve got to be proud of the GTI of the future,’ and the team’s taking that on.”
Charged up
ID.GTI concept; via Volkswagen.
The upcoming electric Golf GTI’s closest mechanical relative is likely to be the ID.3 GTX, which features a 321 hp electric motor sending power to the rear wheels. Assuming a similar output, that would give the upcoming FWD GTI a staggering 80 more horsepower than today’s 2.0L, turbocharged, ICE-powered GTI.
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As a graduate of The Cadillac Allanté School of Front-wheel Drive Performance™, I shudder to think of the kind of torque steer something like a 321 hp FWD hot-hatch would produce – but we’ve come a long way in the last thirty years, and today’s torque-vectoring traction control systems are sure to keep the new FWD VW GTI under control.
In fact, such a system was alluded to back in 2023, when the ID.GTI concept based on the ID.2 (shown, above) was first unveiled:
The way the first electric GTI unleashes its dynamic capabilities is new and exciting. The worlds of the electric ID. GTI Concept and turbocharged Golf GTI meet up when it comes to transmitting the power to the front wheels. A front-axle differential lock—electronically controlled by a Vehicle Dynamics Manager—is used, just like the current generation of the GTI. The Golf GTI and Golf GTI Clubsport were the first Volkswagen models with this traction-control system. With the ID. GTI Concept, an electric Volkswagen now has this intelligent system on board for the first time.
If the big boss is to be believed, the system works. “We’ve driven a few prototypes on the new set-up, and it’s mind blowing,” said Schäfer. “What about the sound? What about the total feel, the handling and so on. It can be done.”
Retro VW interior; via Reddit user pedallingpanda.
If the new electric VW Golf GTI doesn’t have plaid Recaro-style sport seats I won’t care, no matter how quick it is, what it costs, how much range it has, or how cool it looks in my neighbor Jeff’s driveway (that dude buys GTIs).
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After canceling the upcoming Airflow electric crossover and killing its popular 300 sedan, Chrysler only has one nameplate left in its lineup – but it doesn’t have to be this way. Stellantis already builds a full-size electric sedan that could prove to be a badge-engineered winner.
And, yes – it really should have been the new Chrysler 300. Meet the DS No. 8.
Stellantis’ US brands have had a tough go of the last few years, with Jeep trying and failing to bait luxury buyers willing to part with six-figure sums for a new Grand Wagoneer orgenerate excitement for the new electric Wagoneer S. The Dodge brand is doing to better with the Charger, a confusing electric muscle car that has, so far, failed to appeal to enthusiasts of any kind. Meanwhile, the lone Chrysler left standing, the Pacifica minivan, made its debut back in 2016. Nearly ten long model years ago.
Spec-wise, the DS meets the bill, as well. With a 92.7 kWh battery and the standard 230 hp electric motors on board, the electric crossover is good for 750 km (466 miles) of range on the WLTP cycle. With the same battery and a 350 hp dual-motor setup that sacrifices about 40 miles of range for a more sure-footed AWD layout and a 5.4 second 0-60 time that compares nicely to the outgoing Chrysler 300 V8.
The DS offers reasonably rapid 150 kW charging, too, enabling a 10-80% charge (over 300 miles of additional driving range) in less than thirty minutes.
Why it would work
DS Automobiles No. 8; via Stellantis.
Think of all the reasons the Wagoneer S and Charger Daytona EVs have failed to reach an audience. From the confusing Wagoneer “sub-branding” to the fact that no one was really asking for either an eco-conscious muscle car or a loud EV. On the flip side of that, the 300 is something different.
With the DS No. 8, Chrysler could do it again. It could revive its classic American nameplate on a European-designed platform that wasn’t designed to be a Chrysler, doesn’t look like a Chrysler, and shouldn’t work as a Chrysler, but somehow does. The fact that it could also be the brand’s first successful electric offering in the US would just be a bonus.
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Powered by tech giant Huawei 5G-Advanced network, a fleet of over 100 Huaneng Ruichi all-electric autonomous haul trucks and heavy equipment assets have been deployed at the Yimin open-pit mine in Inner Mongolia.
With more than 100 units on site, China’s state-backed Huaneng Group officially deployed the world’s largest fleet of unmanned electric mining trucks at the Yimin coal plant in Inner Mongolia this past week. The autonomous trucks use the same Huawei Commercial Vehicle Autonomous Driving Cloud Service (CVADCS) powered by the ame 5G-Advanced (5G-A) network that powers its self-driving car efforts. Huawei says it’s the key to enabling the Yimin mine’s large-scale vehicle-cloud-network synergy.
Huawei is calling the achievement a “world’s first,” saying the new system has improved operator safety at Yimin while setting new benchmarks for AI and autonomous mining.
For their part, Huaneng Ruichi claims its cabin-less electric offer an industry-leading 90 metric ton rating (that’s about 100 imperial tons) and the ability operate continually in extreme cold temperatures as low as -40° (it’s the same, C or F), while delivering 20% more operational efficiency than a human-driven truck.
The Huawei-issued press release is a bit light on truck specs, but similar 90 tonne electric units claim 350 or 422 kWh LFP battery packs and up to 565 hp from their electric drive motors and some 2,300 Nm (1,700 lb-ft) of tq from 0 rpm.
Huawei executives said the Ruichi trucks reflect the company’s vision for smarter mining operations, with the potential to introduce similar technologies in markets like Africa and Latin America. The 100 asset electric fleet marks the first phase of a plan to deploy 300 autonomous trucks at the Yimin mine by 2028.
Electrek’s Take
Electric haul trucks; via Huawei.
From drilling and rigging to heavy haul solutions, companies like Huaneng Group are proving that electric equipment is more than up to the task of moving dirt and pulling stuff out of the ground. At the same time, rising demand for nickel, lithium, and phosphates combined with the natural benefits of electrification are driving the adoption of electric mining machines while a persistent operator shortage is boosting demand for autonomous tech in those machines.
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