Oil prices have collapsed below $71 per barrel, updating the lows of December 2024

The price of Brent crude oil fell to $70.41 per barrel, while April futures for WTI dropped to $67.45. 

The decline in quotations is due to the trade wars against Mexico and Canada initiated by US President Donald Trump, as well as the tightening of duties on goods from China.

On March 3, the White House announced the imposition of import tariffs of 25% on all goods from Mexico and Canada, with the exception of Canadian energy, for which duties amount to 10%. Washington also doubled duties on goods from China, increasing them to 20%. Trump justified these measures by the need to combat the spread of drugs in the United States.

Other factors contributing to the decline in oil prices included OPEC+'s announcement of its intention to maintain plans to increase oil production from April 1, as well as concerns about the possible lifting of sanctions against Russia in the context of the Ukrainian crisis.