In Sines, Portugal, Portuguese oil company Galp Energia may face reduced gasoline exports to the United States if President Donald Trump imposes tariffs on European goods. However, the company believes it can find alternative markets. Ronald Doesburg, a board member responsible for industrial assets, stated that Galp is prepared to handle any decrease in U.S. demand due to higher prices caused by potential 25% tariffs.

Galp's Sines refinery typically produces around 2 million metric tons of gasoline annually, with 1.2 to 1.5 million tons exported to the U.S. and the rest sold in Portugal. Trump's threat of tariffs on European goods poses a risk of a trade conflict that could harm European companies reliant on exports.

Doesburg highlighted that the energy market is interconnected globally, enabling Galp's gasoline production to adapt to different markets. Despite the potential impact of tariffs, Galp is equipped to manage and explore various options in response, leveraging its experience in handling trade disruptions.

Galp is also focusing on sustainable initiatives, with plans to launch biodiesel and sustainable aviation fuel production using waste like recycled cooking oil by mid-2026. Sergio Machado, Galp's hydrogen division head, shared that the company's 400 million euro Hydrogenated Vegetable Oil (HVO) plant, a partnership with Japan's Mitsui, will leverage green hydrogen to produce 270,000 tons annually. The plant is expected to be operational by mid-2026 and ramp up production thereafter.

(Source: Reporting by Sergio Goncalves; Editing by Andrei Khalip and David Goodman)