Due to advanced shale technology，the U.S. oil industry has continued to expand since 2009，with oil production increasing dramatically. Compared with other producers in the world，the production cost of the U.S. crude oil is higher，but it also has some competitiveness. First，the cost of the tight oil is falling fast. Secondly，the price elasticity of the demand for tight oil is higher. Thirdly，the tight oil is cleaner. The US oil industry is facing huge challenges. In 2020，the COVID-19 outbreak caused short-term disruptions in the global supply chain，a sharp drop in oil demand，and a sharp drop in crude oil prices，which put the US oil industry in a difficult position. Besides，the COVID-19 changes some economic activities，and the global low-carbon transformation will be irreversible. They both have a long-term impact on oil demand. In addition，the policy uncertainty caused by the US political pendulum is not conducive to the oil industry and its long-term investment. U.S. oil companies cut investment and reduced exploration，development and production，which will lead to a slower pace of U.S. oil expansion.