The EU has a policy requiring gas importers to report on “methane intensity” and imposing fees on imports that don’t meet a tight methane standard by 2027, which could affect US LNG exports to Europe.
To avoid all trade tariffs being imposed on the EU by the US, the EU is considering a methane emissions trading market that would allow high-methane gas to be labelled as low-methane by buying certificates from low-emissions producers.
President Donald Trump’s tariffs and trade policies have significant implications for climate change efforts, particularly between the United States (“US”) and the European Union (“EU”). The EU has several options to respond to potential US tariffs, including negotiation, retaliation or a combination of both strategies.
Last month, President Trump urged the EU to increase its purchases of crude oil and liquefied natural gas (“LNG”) from the US to avoid tariffs on all imports, stating that buying American oil and gas is something the EU can do quickly to resolve the issue.
Trump lifted a pause on new LNG export terminal construction on his first day in office, which was previously imposed by the Biden administration due to concerns over the “carbon footprint” of LNG exports, and as a result, the US has become the largest LNG exporter in the world.
Since 2022, the US has been the biggest supplier to Europe. The US saw a significant increase in LNG exports to Europe, with exports jumping from 15 million tonnes per year before 2022 to 55 million tonnes in both 2022 and 2023, following the suspension of most Russian pipeline flows to the continent.
But the EU has a problem, a “greenhouse gas” problem linked to the fabricated climate change agenda.
The EU has a policy starting in May requiring gas importers to report on their products’ “methane intensity,” the ratio of methane emissions to the total production of oil, gas or coal, and imposing additional fees on imports that don’t meet a tight methane standard by 2027....<<<Read More>>>...
