To encourage using locally-produced oil from the Gulf of Mexico,the United States government applies tax to Canadian-produced oil as it crosses the border.This tax is referred to a:

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The tax applied to Canadian-produced oil as it crosses the border is referred to as a tariff. A tariff is a tax on imported goods that is meant to protect domestic industries by making foreign-produced goods more expensive and less competitive. In this case, the US government is using a tariff to encourage the use of locally-produced oil from the Gulf of Mexico by making it cheaper and more competitive compared to Canadian-produced oil, which is more expensive due to the added tariff.

To Encourage Using Locally-Produced Oil from the Gulf of Mexico,the