Investing.com-- Oil prices edged higher Thursday, rebounding from multi-year lows after the U.S. offered some concessions on recent tariffs, helping lift risk appetite.

At 08:45 ET (13:45 GMT), Brent oil futures expiring in May rose 0.3% to $69.49 a barrel, while West Texas Intermediate crude futures rose 0.4% to $66.57 a barrel.

Brent had hit its lowest level since December 2021, while WTI fell to a near one-year low.

"Rising OPEC supply and prospects for further increases, combined with ever-present tariff uncertainty, pushed the market lower," analysts at ING added, in a note.

Oil markets relieved by some US tariff exemptions

Oil markets, along with broader financial markets, took some relief from U.S. President Donald Trump offering concessions to automakers from his recent 25% tariffs against Mexico and Canada. Trump said automakers will receive a one-month period to adjust to the tariffs.

Other reports showed Trump was also considering exemptions for agricultural goods such as potash and fertilizers.

The exemptions offered some relief to markets, in hopes that the economic impact of Trump’s tariffs will be less severe than initially expected. Traders were also betting that Trump will scale back the tariffs amid internal and external resistance.

Still, Trump signaled that more tariffs, including reciprocal measures, will be imposed in early-April.

OPEC raised output, U.S stockpiles weigh

But traders remained on edge over increased the U.S. trade tariffs on China, Canada, and Mexico, as well as growing expectations of higher oil supplies, after the Organization of Petroleum Exporting Countries and allies agreed to increase production this week, for the first time since 2022.

Additionally, crude stockpiles in the U.S., the world’s biggest oil consumer, rose more than expected last week, buoyed by seasonal refinery maintenance, while gasoline and distillate inventories fell because of a hike in exports, the Energy Information Administration said on Wednesday.

There are further signs of weakness in American oil demand, with U.S. waterborne crude oil imports dropping to a four-year low in February, driven by a fall in Canadian barrels shipped to the East Coast, ship tracking data shows, Reuters reported.

Pemex looking for Asian, European buyers amid U.S. tariffs

Mexican state oil company Pemex is in talks with potential buyers in Asia and Europe, including China, as it seeks to navigate higher U.S. trade tariffs, Reuters reported on Wednesday.

The company exported more than half of its production to the U.S. in 2024, although these fell off sharply in January as supply chains shifted in anticipation of the U.S. tariffs.

The company was also seen ruling out the possibility of discounts for U.S. customers in the face of trade tariffs.

(Ambar Warrick contributed to this article.)