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Valero refinery escapes Trump’s new tariffs

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Fuel imports spared as US tries to avoid price hikes

THE VALERO oil refinery in Pembroke has escaped the impact of Donald Trump’s sweeping new tariffs on UK and EU goods, following confirmation from the White House that all oil, gas and refined fuel imports will be exempt from the new trade restrictions.

A White House official said energy imports would be excluded entirely from the tariff measures (Pic: ABC)

On Wednesday (Apr 2), Trump announced a 10% baseline tariff on all imports into the United States, with higher duties targeting key trading partners including Britain and the European Union. The move has sparked fears of a deepening global trade war, with UK manufacturers, farmers, and exporters among those facing fresh barriers to the American market.

However, a White House official told Reuters that energy imports would be excluded entirely from the tariff measures. The exemption, which applies to crude oil, natural gas, petrol, diesel and jet fuel, is designed to prevent supply disruptions and price spikes in the United States, particularly on the East Coast, where fuel imports from Europe play a vital role.

Relief for Pembrokeshire

The announcement is a major relief for Pembrokeshire, where the Valero refinery at Rhoscrowther remains one of the area’s largest employers. Hundreds of local jobs depend directly on the refinery, with many more supported through contractors, hauliers, suppliers and businesses tied to the energy sector.

A local business owner in Pembroke Dock said: “This is brilliant news for the area. Valero keeps a lot of people in work around here, and the last thing we needed was more uncertainty from across the Atlantic.”

While other Welsh exports—including lamb, steel and whisky—face an uphill battle under the new tariffs, Pembroke’s key fuel production facility has been spared thanks to a combination of its strategic importance and ownership.

American-owned, Atlantic-focused

Valero Energy Corporation, which owns the Pembroke site, is a US-based multinational headquartered in San Antonio, Texas. The company is one of the largest independent refiners in the world, and acquired the Pembroke refinery in 2011 from Chevron for $730 million.

The deal also included a vast logistics and retail network across the UK and Ireland, including four product pipelines, 11 fuel terminals, a 14,000-barrel-per-day aviation fuels business, and more than 1,000 Texaco-branded forecourts—making it the largest branded dealer network in the UK.

At the time of the acquisition, Valero’s Chairman and CEO Bill Klesse said the move would allow the company to supply the US East Coast market more competitively, particularly after exiting US East Coast refining operations in 2010. “The Pembroke refinery remained profitable even during the depths of the economic downturn,” Klesse said. “We expect that it will be immediately accretive to earnings per share.”

Fuel to flow when economics align

The Pembroke refinery has a processing capacity of 270,000 barrels per day, making it one of the most complex and flexible in Europe. It produces around 3.6 million gallons of petrol and 2.2 million gallons of diesel daily and can process more than 60 different types of crude oil.

While exact export volumes to the United States are not publicly disclosed, the site is considered a key part of Valero’s Atlantic Basin margin optimisation strategy—designed to move fuel between Europe and the US when market conditions are favourable. Europe remains a major supplier of refined fuel to the US East Coast, where refining capacity has declined.

An energy analyst told The Herald: “Even if Pembroke isn’t exporting to the US every day, it’s a crucial part of Valero’s strategy. When the economics make sense, diesel or jet fuel from Wales can and does flow to the US. That’s why the White House exemption matters—it keeps those channels open.”

Wider Welsh economy still exposed

While Valero and the Pembroke refinery are protected under the exemption, other Welsh sectors are now facing harsh realities. Exports such as Welsh lamb, whisky, steel and car components are now subject to tariffs that could reduce competitiveness in one of Wales’ most important markets.

Welsh Liberal Democrat MP David Chadwick said: “Donald Trump has launched a destructive trade war that threatens the jobs and living standards of people right across Wales. This needs to be brought to an end quickly, and the Prime Minister should be forming a coalition of allies—Canada, Australia, the EU—to stand against this. If the Government gives in to Trump’s threats, it will only encourage more bullying tactics in future.”

Looking ahead: volatile politics, stable demand

Although energy has been exempted for now, industry insiders warn that volatility remains high.

“The US exemption is about fuel supply and domestic prices,” the analyst added. “If demand or political calculations shift, exemptions could change too. Wales can’t afford to be complacent.”

One refinery worker put it more bluntly: “We’ve dodged this bullet, but with Trump, the safety’s always off.”

 

Business

Pembrokeshire Lydstep Beach Village development refused

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A CALL for an extra sign advertising a Pembrokeshire holiday park, adding to exiting unauthorised ones, which planners say would create “visual clutter and intrusion” and a distraction to drivers, has been refused.

In an application to Pembrokeshire Coast National Park, permission was sought, through Lakeside Signs Limited, for an additional sign advertising Haven’s Lydstep Beach Village, near Tenby, the sign proposed for North Lodge where the holiday park joins the main road.

Pembrokeshire County Council’s highways authority raised no concerns regarding the specific location of the sign, but said “there remains a broader concern regarding the cumulative impact of signage along this section of highway,” adding: “The increasing proliferation of signs in this location has the potential to create a visually cluttered environment, which may distract drivers and, in turn, give rise to road safety implications.”

A Park officer report recommending refusal said: “Currently, there are eight flagpoles, one A-frame banner type sign, one pole mounted panel sign, and a further panel sign, located behind the stone wall on the western side of the park’s entrance. None of these advertisements have the benefit of advertisement consent.”

It added: “The increasing number of signs in this location has the potential to create a distraction to drivers, which may result in road safety implications. In addition, the proliferation of signage would create clutter that would result in visual intrusion in this countryside location affecting amenity. As such, the recommendation is to refuse.”

It went on to say: “Whilst it is not deemed that the proposed advertisement would result in harm being caused to the specific special qualities of this area, there are concerns that the display of this advertisement would, along with the remainder of the advertisements, which are unauthorised, result in a proliferation of advertisements, which in turn would cause visual clutter and intrusion.

“This is especially problematic in a countryside location where development is strictly controlled. Should the existing signage be consolidated and rationalised, the Authority may support the proposed sign, however, currently, any additional signage would not be deemed appropriate.”

The application was refused on the grounds that it would, along with the exiting signage, “result in visual clutter and intrusion which would detract from the visual amenity of this countryside location, and would result in potential distraction to drivers, which in turn would rise to road safety implications”.

 

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The Cheesecake Guy store could be coming to Saundersfoot

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SAUNDERSFOOT’S Coal Building interpretation centre could soon host the third store for Welsh cheesecake business The Cheesecake Guy Ltd, in plans before the national park.

In an application to Pembrokeshire Coast National Park, Craig Taylor of Merthyr Tydfil-based The Cheesecake Guy Ltd seeks a change of use of part of Saundersfoot’s Cambrian Terrace Coal Building interpretation centre to create a small retail unit.

On its website, The Cheesecake Guy says of its business and products: “Established in 2019, The Cheesecake Guy is all about delivering indulgent, handcrafted cheesecake desserts with a twist. While we offer a range of sweet treats, our specialty — and customer favourite — is the signature cheesecake jar.

“Made with quality ingredients and packed with rich, creamy layers, our jars are the perfect dessert for any occasion. Whether you’re treating yourself or sharing with others, The Cheesecake Guy brings a spoonful of happiness to every bite.”

While no supporting statement has yet been published for the Saundersfoot proposal, the application says the scheme would employ two full-time members of staff, operating 10am-6pm Mon-Sat, and 10-5 on Sundays and bank holidays.

It says the proposed site is currently a mixed-use retail and gift shop, having previously been used as office space.

It adds: “This is a space within a building that is still trading, the space we are wanting a change of use was last used by Persimmon Homes as an office space.”

Of the scheme itself it says it will involve “retail sales of pre-prepared desserts and merchandise,” adding there will be “no on-site manufacturing or heavy processing,” with “equipment limited to display fridges and freezers”.

If approved, the Saundersfoot site would be the third outlet for The Cheesecake Guy, with sites in Merthyr, and, more recently, Newport Market.

After that store opened following redevelopment of Newport’s Victorian market, Craig Taylor, of The Cheesecake Guy, said: “We are very excited to be part of the new development in Newport Market alongside some other amazing small businesses.

“We feel this is definitely the next step in the right direction after our Merthyr Tydfil store taking off so well.”

For its Newport site, The Cheesecake Guy says: “We specialise in creating a wide variety of cheesecake desserts that cater to all tastes. Our menu features popular favourites that have won the hearts of many, alongside exciting new creations designed to keep your taste buds satisfied.

“Whether you’re a classic cheesecake lover or an adventurous foodie, we promise a cheesecake experience like no other. Each cheesecake is made with the utmost care, ensuring a rich, creamy texture and a burst of flavour in every slice (or jar!).”

The Saundersfoot proposal will be considered by park planners at a later date.

 

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Pembrokeshire Broad Haven holiday park works refused

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A DEVELOPMENT call for a Pembrokeshire holiday park has been turned down by Pembrokeshire Coast National Park.

In an application to park planners, Broad Haven Holiday Park, through agent Gerald Blain Associates, sought permission for the relocation of a boat storage area, vehicle shed and play area along with rewilding of adjoining fields at Broad Haven Holiday Park, Broad Haven, near Haverfordwest.

The application was supported by local community council The Havens.

However, an officer report recommended refusal.

Detailing the application, it said: “The proposal relates to the extension of an existing static caravan holiday site into adjacent undeveloped woodland to accommodate the relocation of boat storage, a vehicle shed, and a children’s play area, together with associated ecological mitigation measures. No increased pitch numbers are proposed.

“The development site has already undergone some site clearance, resulting in the removal of approximately 1,000 square metres of woodland.”

It went on to say: “The existing site is already intervisible with the coast, and the proposed relocation of boat storage would likely increase its visibility rather than reduce it. Without supporting evidence in the form of a Landscape and Visual Impact Assessment (LVIA) or Zone of Theoretical Visibility (ZTV) demonstrating that the development would be visually contained, the proposal appears contrary to the guidance contained within the SPG and the objectives of Policy 41.

“As a result, the proposed development is considered to detract from the special qualities of the National Park in this location and would be detrimental to the quality and character of the landscape character area in which the site sits, and as such does not comply [with policies].”

The application was refused on grounds including it being sited within previously undeveloped land within a flood zone, a lack of information on potential impacts on biodiversity, and it is “considered to detract from the special qualities of the national park in this location and would be detrimental to the quality and character of the landscape character area in which the site sits”.

 

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