President-elect Donald’s plan trump Imposing 25% tariffs on imports from Canada and Mexico on his first day in office does not exempt oil from trade sanctions, two sources told Reuters on Tuesday.

trump On Monday he vowed to impose steep tariffs on Canada and Mexico until they stop cracking down on drugs, especially fentanyl, and migrants crossing the border, in what could appear to be a violation of the free trade agreement under the trade pact between the three countries.

Tariff threats trump are broad and include oil imports, two sources said, adding that the Republican often takes aggressive position at the beginning of negotiations.

The American oil industry expected trump exempted oil imports, fearing that this would cause a kind of price rise energy that the former president promised to destroy when he arrived at the White House.

Canada and Mexico are the largest sources of U.S. crude oil imports, accounting for nearly a quarter of the oil that U.S. refineries process into fuels such as gasoline, diesel and heating oil, according to the Energy Department.

When asked about including oil imports, the transition team trump He noted that tariffs against China created jobs, stimulated investment and did not cause inflation. (Reuters).