energy markets

Tariffs and Clean Energy: What You Need to Know

The effect of tariffs on energy markets is complex, and a lot depends on the details.

International trade economics is complicated, and we can’t be certain of how tariffs will work out, particularly in the long term when economies have fully adjusted to them.  Trump’s hope is that the tariffs will cause a boom in U.S. production, although there is also evidence that protected industries are less efficient and innovative, resulting in higher consumer prices. Impacts on clean energy could be negative, The same is true for impacts on fossil fuels.

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What’s Been Killing U.S. Coal?

No, it’s not Biden. Or EPA. The culprits are supply and demand.

From 1960 to 2005, coal use grew more or less steadily by 18 million  tons per year. It then tread water for a few years and began a steep decline in 2008, going from half of U.S. electricity to about one-fifth today.  What happened in the middle of the Bush Administration to halt growth? And …

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