Michigan Gas Prices at Risk as Trump Trade Tensions Threaten Canadian Oil Flows
Michigan gasoline prices could rise if escalating trade tensions between the U.S. and Canada disrupt crude oil flows that supply Midwest refineries, analysts warn.
(P&GJ) — Rising trade friction between President Trump and Canada could drive up gasoline prices in Michigan if Canadian crude supplies are disrupted, according to reporting by FOX 17.
The latest tension stems from trade disputes and reported threats to block the opening of the Gordie Howe International Bridge, as well as broader uncertainty surrounding the future of the U.S.-Mexico-Canada trade agreement. Energy analysts say Michigan would be particularly exposed if trade conflict begins affecting cross-border oil flows.
Patrick De Haan of GasBuddy said Michigan and neighboring Midwestern states rely heavily on crude imported from Canada.
The United States imports roughly 43 million barrels of oil per week from Canada. Much of that supply reaches Midwest refineries through Enbridge’s pipeline system, which serves facilities in Detroit, Chicago, Toledo and other regional markets.
According to De Haan, refineries in the region have been built around Canadian crude supplies for decades, leaving little short-term flexibility if shipments were reduced or interrupted.
“Without this Canadian oil, since the 1960s, refineries wouldn't have anything to refine. So if this suddenly changes, there's no infrastructure designed in place for any sort of remedy, because this has never been thought possible before,” he said, as reported by FOX 17.
Local fuel prices across West Michigan currently range from about $2.86 to just over $3.00 per gallon, depending on the county. Analysts expect prices to ease slightly in the near term, though any escalation in trade disputes could quickly shift that outlook.
For now, market participants are watching developments in Washington to see whether tariff threats or infrastructure disputes lead to broader impacts on cross-border energy trade.