New Tariffs and Energy Supply Chains: Managing Impacts, Legal Insights, Practical Approaches

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President Trump recently signed executive orders imposing tariffs on almost all imports from Canada, China, and Mexico. While the tariffs on Canada and Mexico were paused for 30 days, pending those countries' adoption of measures to strengthen border security, the tariffs on China became effective Feb. 4, 2025.

According to one estimate, the U.S. imports around 40 percent of its crude oil, with nearly 70 percent of crude oil imports coming from Canada and Mexico. The U.S. power industry has become increasingly reliant on imports for critical minerals and for transmission and distribution equipment such as transformers. The storage industry relies on batteries imported from China. Additional tariffs have the potential to disrupt the energy sector's supply chains and could lead to to increased costs and operational challenges for domestic producers and suppliers.

Companies and their counsel should be proactive to minimize their commercial and legal risks and maintain smooth operations, manage costs, and fulfill contractual obligations. This includes reassessing supply chains, exploring alternative sourcing strategies, and understanding the legal implications of tariffs on existing agreements.

Listen as our authoritative panel examines the legal framework supporting the tariffs and the potential for challenges to the tariffs, along with the impacts of the tariffs on the U.S. energy sector. The panel will also address potential strategies for businesses in the energy sector to explore.