Crude oil prices were down during early trading on Wednesday as the markets await some form of a trade deal between Washington and Beijing before the implementation of additional U.S. tariffs on China due on Sunday, Dec. 15.
International benchmark Brent crude was trading at $63.95 per barrel at 0940 GMT for 0.37% loss after closing Tuesday at $64.19 a barrel.
American benchmark West Texas Intermediate was at $58.93 a barrel at the same time for a 0.29% decline after it ended the previous session at $59.19 per barrel.
The U.S. is set to impose 15% additional tariffs on $160 billion worth of goods that it imports from China on Dec. 15.
The world’s two largest economies are trying to form some sort of a trade agreement before the additional tariffs go into effect.
Washington and Beijing have so far failed to agree on a phase-one trade deal amid their dispute.
In the last 20 months, the U.S. has imposed tariffs on $550 billion worth of Chinese imports, while China has reciprocated by implementing tariffs on $185 billion worth of imports from the U.S.
The trade dispute between U.S. and China has already hurt the global economic growth forecast for next year and has had a negative impact on overall oil demand throughout the world while putting downward pressure on crude prices.