How much oil can Trump pump?
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Subscribe to enjoy similar stories. Donald Trump, a man not renowned for the length of his attention span, likes simple formulas. Scott Bessent, his nominee to be treasury secretary, has one: “3-3-3".
He wants to cut America’s federal budget deficit to 3% of GDP, lift annual economicgrowth to 3% and boost the country’s oil and gas output by the equivalent of 3m barrels per day (b/d) by 2028, up from 30m in 2024. The last bit of the plan is the most advanced.The Trump administration will open more federal land and offshore blocks to drilling, and approve permits for liquefied natural gas (LNG) projects. Mr Trump wants to create a National Energy Council to cut red tape on everything from issuing permits to distribution.
And he eyes a bonfire of President Joe Biden’s green subsidies and rules. The goal? Global “energy dominance", according to Mr Trump. A petro-boom would advance many of his other aims.
More exports would reduce America’s trade deficit. Higher tax takes would bolster its budget. A jump in oil output would allow Uncle Sam to tighten sanctions on Iran while keeping fuel cheap on forecourts.
More American gas would also help to meet rising power demand from artificial intelligence, while reinforcing Europe’s economic reliance on its transatlantic partner. The problem is that Mr Trump’s wish to “drill, baby, drill" will run up against the hard realities of the energy market. The president-elect is setting himself up to fail.
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