Americans who rely on oil for heating their homes may face higher costs this winter if President Donald Trump imposes tariffs on Canadian energy imports. The proposed 10% tariff on Canadian energy imports could result in an average increase of $117, raising the cost of oil-based home heating to $1,576 for the season. This move is expected to impact the New England region the most, as approximately 80% of heating oil in that area is imported from Canada.
Lower-income households are likely to be disproportionately affected by the tariff, as states may not have additional federal funding to offset the increased costs. The National Energy Assistance Directors Association has highlighted the need for Congress to allocate more funds to the Low Income Home Energy Assistance Program to help mitigate the impact on vulnerable households.
Overall, the cost of heating a home this winter is projected to increase by 12.7% compared to last year, with the average cost amounting to $976. This revised estimate reflects a higher increase than initially forecasted, primarily due to colder-than-expected temperatures experienced this season.
