Ban Russian and Saudi Oil Imports

March 30, 2020

 The American energy industry is the lifeblood of all industries.  When America finally defeats the Coronavirus, and the nation returns to work, every industry from airlines to cruise ships to manufacturing plus the tens of millions of Americans commuting to and from work will need energy.  Congress recently passed the CARES Act to protect the nation’s economy during this national crisis.  American energy undergirds all other economic success.  

America’s energy is dealing with two challenges simultaneously: 

1- The virtual freezing of our nation’s largest industries (manufacturing, travel, tourism) to prevent the spread of coronavirus has cut off demand 

2- The price war between Russia and Saudi Arabia has further weakened the price of oil with the goal of bankrupting the American oil producers 

Power The Future is calling on our nation’s leaders to implement a ban on Russian and Saudi oil into the American marketplace.  This swift and targeted action will protect the American oil and gas industry for the long term health of our economy and national security.  By banning the import of Russian and Saudi oil we can both strengthen our domestic oil production and send a strong signal to the international community that price wars aiming to hurt American industry will not be tolerated.  

Facts:

1. The Congressional rescue package has a multi-trillion dollar price tag.  A boycott of all Russian and Saudi oil does not cost the treasury any money

2. Oil imports are approximately a third of America’s daily domestic oil consumption. Russian and Saudi imports are 6% respectively (12% total), a very small percentage of our oil needs

3. The transportation and industrial sectors are more than 90% of our oil consumption. Those industries are virtually stopped in an effort to stop the spread of the coronavirus meaning current demands do not require Russian and Saudi imports

4. The oil and gas industry employs more than 10 million people here at home contributing $1.3 trillion to the economy

5. If the American energy industry goes bankrupt, we will lose energy dominance, and possibly return to dependence on Russian and Saudi oil. This long-term consequence must be avoided at all cost

This action by our nation’s leaders – stopping the import of all Russian and Saudi oil – is a crucial, short term step that will protect jobs, the lifeblood of our economy, and our national security at no cost to the taxpayers.  Once the Coronavirus crisis has passed, and our tourism, travel, airlines and manufacturing sectors are back to work with tens of millions of people returning to their daily routine, they will need a robust, reliable, domestic energy industry to power the nation.