Lost Billions. Transfer Pricing in the Extractive Industries


Summary: Over 110 billion USD has disappeared through mispricing of crude oil in the US and the EU between 2000 and 2010. Profits have been moved from the source country to the extractive industry companies. In December 2000, the Netherlands imported crude oil for the price of 1,69 Euro per bbl. while the spot market prices were no lower than 26 Euro, resulting in an underevaluation of around 40 million Euro to the source country. h4. Last ned data i Excel, og lek med tallene på egenhånd:

  1. Import_detail_EU_crude.xls Detailed records of EU import of PETROLEUM OILS AND OILS OBTAINED FROM BITUMINOUS MINERALS, CRUDE (EXCL. NATURAL GAS CONDENSATES), 2000-2010 (NC8=27090090). EUROSTAT External Trade Data (http://epp.eurostat.ec.europa.eu/portal/page/portal/external_trade/data/...)
  2.  Import_detail_EU_n.gas.xls Detailed records of EU import of NATURAL GAS CONDENSATES, 2000-2010 (NC8=27090010). EUROSTAT External Trade Data (http://epp.eurostat.ec.europa.eu/portal/page/portal/external_trade/data/...)
  3. Import_detail_US_crude.xls Detailed records of US Import of Crude Petroleum, 2000 – 2010: two HS10 codes for API >25 (HS10: 2709002000 & 2709002090) and HS10 code for API<25 (HS10: 2709001000) from the U.S. Imports of Merchandise. U.S. Census Bureau, U.S. Foreign Trade Data Downloads (http://www.census.gov/foreign-trade/download/dvd/index.html)
  4. crude_detl_cif_factor_data.xls Insurance-freight cost of crude oil (USD per bbl, monthly average) from the U.S. Imports of Merchandise, U.S. Census Bureau, U.S. Foreign Trade Data Downloads (http://www.census.gov/foreign-trade/download/dvd/index.html)
  5. PET_PRI_IMC3_K_M_fob-by-api.xls* F.O.B. Costs of Imported Crude Oil by API Gravity, U.S. Energy Information Administration
  6. FX_USD_EUR.xls Euro-USD exchange rates – monthly data from Euro/ECU exchange rates – Monthly data, EUROSTAT, (http://epp.eurostat.ec.europa.eu/portal/page/portal/exchange_rates/data/...(ref “Appendix II” in report)
Written by
Phd. Simon J. Pak
Publication date