CALGARY – Suncor chief executive Rich Kruger says that while all Canadian businesses will feel a hit from tariffs, his company is fairly well-positioned to limit the impact.
He says the company’s large Canadian refining footprint and higher capacity than peers to export crude from the coast makes it less exposed to tariffs compared with some companies more reliant on shipping unrefined heavy crude south of the border.
Kruger says that while he thinks the U.S. needs Suncor just as it needs the U.S. market, the company’s integrated asset base gives it a natural hedge to tariff impacts.
His comments on an earnings call came as Suncor reported a profit of $818 million in the fourth quarter of 2024, down from $2.82 billion a year earlier.
Adjusted operating earnings were $1.57 billion, down from $1.64 billion a year earlier.
Desjardins analyst Chris MacCulloch said in a note that earnings beat expectations even though the company had pre-released most key operational metrics in January.
He says Suncor looks to be a safe harbour in the event of a North American energy trade war given it refines nearly half of corporate production within Canada.
This report by The Canadian Press was first published Feb. 6, 2024.
Companies in this story: (TSX:SU)