The ongoing tariff war between the United States and China has escalated, sending global crude prices tumbling by six percent on Wednesday, April 9, 2025.
US President Donald Trump on Wednesday, April 9, 2025, confirmed the 104 per cent tariff on Chinese imports while in a tit-for-tat, China slammed 84 per cent on US goods which will take effect on April 10, 2025.
OilPrice.com data showed that West Texas Intermediate (WTI) crude futures slumped by around $4.01, or 6.7 per cent, to $56.06 per barrel, while Brent tumbled to $59.33 per barrel as at the time of filing this report.
The drop is the lowest crude price decline since February 2021.
The tariff war between the US and China had sparked concerns among traders, worried that the world may descend into a full-blown trade war that will trigger a recession, hitting crude oil demand.
Recall that the Organisation of Oil Producing Countries, OPEC+, recently agreed to accelerate output in May, which will bring more oil to a market that was already facing a surplus.
By Babajide Okeowo
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