US Energy Security Tied to Global Crude Imports and Exports
The recent disruptions in the Strait of Hormuz have raised concerns about US energy security and its impact on domestic markets.
Despite being the world's largest crude oil producer, the US still imports and exports both crude oil and refined products due to refinery demand, barrel quality, and transportation economics.
US refineries process more than 16 million barrels per day (mb/d), while domestic production stands at just under 14 mb/d. Imports help bridge this gap and provide the right mix of crude for many refineries to operate efficiently.
The US has over 150 different crude oil grades, with most being lighter than ideal for many domestic refineries. Imports provide a heavier crude slate that maximizes fuel production and improves refinery efficiency.