IEA says trade barriers threaten global energy security

Fatih Birol, the head of the International Energy Agency (IEA), says the energy sector is experiencing a new wave of instability due to escalating trade tensions, as reported by the Financial Times.

Birol highlighted the energy crisis in the EU, exacerbated by reduced gas supplies from Russian pipelines. He noted that Europe has yet to fully grasp the lessons from this situation, even as it shifts towards alternative energy sources.

Additionally, the new US trade strategy poses further challenge to global energy stability. On April 2, President Donald Trump announced a blanket 10% tariff on imports from 185 countries, with a 90-day pause for some nations. Tariffs on Chinese goods have reached an unprecedented 145%, including extra levies.

The IEA chief cautioned that tightening tariff policies and regulatory changes in both the EU and the US could hinder energy cooperation and increase Europe’s reliance on external supplies.