why does Canada export so much oil to the US but also still import some oil from us?

Question

Wouldn’t it make most economic sense to just sell to our own countries in that case if there’s some standardized barrel price?

In: 293

Answer 1

Not all the oil is the same. It gets processed depending on its intended use. It’s cheaper to process then ship than process on site. Canada needs different types of oil. It exports the type it has enough of and imports what it doesn’t have enough of.

Trade tables tend to combine all forms of oil into one block.

And… Canada is big. Quebec might import oil from the EU and BC might export it to the States.