for Gasoline Exports
The frontrunner in Mexico's upcoming election, Andres Manuel Lopez Obrador, fervently opposed the historic energy reforms when they were passed several years ago.
Low oil prices and soaring budget deficits have provided motivation for emerging markets to scrap the status quo with regards to fuel subsidies. Despite short-term pain from liberalizing prices, as seen currently in Mexico, longer-run benefits of curbing oil demand growth will emerge.
Growth in refining capacity, high downstream utilization, and flexibility provided by cheap feedstock thanks to the shale boom have all boosted U.S. energy security and lowered pump prices for consumers.
The U.S. government has approved a crude oil swap agreement between the United States and Mexico, in the latest dent in the longstanding ban on exports of American crude oil.