Guess what will be the most exported product from the USA in 2023
For the first time in history, oil is set to become the United States' top export item this year, highlighting the growing influence of US production and exports on the global oil market.
Increased US crude oil production in recent years and growth in exports since the ban was lifted in 2015 have made US oil an increasingly important commodity on the market, especially after Russia's invasion of Ukraine and the ban and sanctions on Russian crude in the West.
U.S. oil supply has offset some of OPEC+'s cuts in the first half of this year, as record production is expected in 2023 and 2024. U.S. crude production is expected to average 12.92 million of barrels per day (bpd) this year and 13.12 million bpd next year, new all-time highs, according to the Energy Information Administration (EIA) in its October Short-Term Energy Outlook.
Oil exports are also at a record high, averaging 3.99 million bpd in the first half of 2023, up nearly 20% from the first half of 2022.
In terms of volume and value, U.S. oil exports were the largest export of all categories of American trade with the world through August of this year and will likely remain so through the full year of 2023. , for the first time ever, according to an analysis by Ken Roberts of WorldCity, a company that tracks U.S. exports based on data from the U.S. Census Bureau.
In August alone, the value of U.S. oil exports of $10.3 billion accounted for the largest share of all American exports, at 6 percent, followed by gasoline and other fuels, according to WorldCity data. Also in terms of tonnes, oil's share was the highest, at 24%, followed by LNG, petrol and other fuels.
According to WorldCity's Roberts analysis published in Forbes, “the crude oil category will be the United States' top export when 2023 data is released early next year.”
Since 2015, when the United States lifted its ban on crude oil exports – which had previously only been destined for Canada – American oil exports have increased as production has increased. The jump has been more pronounced in the past two years, thanks to growing global appetite for competitively priced barrels amid OPEC+ supply cuts and the embargo on Russian crude.
Despite the fact that U.S. crude is mostly of the lighter, sweeter variety, unlike the higher grades of Russia and the Middle East, American exports have made up for some of OPEC+'s cuts in recent months.
According to the EIA, in the first half of 2023, Europe was the top destination for U.S. crude exports by volume, at 1.75 million bpd, led by exports to the Netherlands and the United Kingdom. Asia came in second place, with 1.68 million bpd, led by US oil exports to China and South Korea. The US also exported significantly smaller volumes of crude to Canada, Africa, Central America and South America.
In less than ten years since the export ban was lifted, US oil has become so important to the global market that in June WTI Midland was added to the Brent crude quality basket, used as a benchmark for determining the price of the most traded oil contract in the world.
This record export of US crude oil easily explains the hostility that was created with Saudi during the Biden presidency: the Kingdom has now become a competitor, no longer a supplier, of the USA, therefore political relations are not encouraged by necessity to have economic relationships.
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The article Guess what will be the most exported product from the USA in 2023 comes from Economic Scenarios .
This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/indovinate-quale-sara-il-prodotto-piu-esportato-dagli-usa-nel-2023/ on Mon, 23 Oct 2023 07:00:06 +0000.