Muscat: During a press conference declaring “Liberation Day,” Trump announced a 10% base tariff on all U.S. imports and additional levies on dozens of countries, igniting concerns of prolonged trade disruptions. Though oil, gas, and refined products are exempt, analysts warned that the wider economic impact could still hit global crude demand.

Brent crude futures fell by $1.97 or 2.63% to $72.98, while U.S. West Texas Intermediate (WTI) dropped $1.98 or 2.76% to $69.73.

Adding to the downward pressure, U.S. Energy Information Administration (EIA) data showed a surprise increase in crude inventories, with stockpiles rising by 6.2 million barrels, defying expectations of a 2.1 million barrel decline.

The tariff list, which takes full effect in May, targets nearly 150 auto part categories, including engines, transmissions, and lithium-ion batteries, alongside lower-cost components such as tires and spark plug wires. The list also controversially includes automotive computers, covered under a code shared with consumer electronics — a category that saw $138.5 billion in imports in 2024, according to the U.S. Census Bureau.