U.S. President Donald Trump called on Americans to accept a marginal increase in gasoline prices to prevent Iran from acquiring nuclear weapons. He mentioned plans to designate the Strait of Hormuz as U.S. territory. This move by Trump faces political challenges as it clashes with his pledge to reduce energy expenses, with Democrats eyeing the economic repercussions of a potential conflict with Iran in the upcoming midterm elections.
During a speech in Garden City, N.Y., Trump emphasized the significance of the increased gasoline costs as a measure to prevent a “very evil country” from obtaining nuclear weapons. He defended his actions, stating that the U.S. was serving a global interest by taking a strong stance against Iran.
Approximately 20% of the world’s oil and LNG shipments pass through the Strait of Hormuz, leading to concerns about potential disruptions and subsequent oil price hikes. Trump’s statement about potentially declaring the Strait as U.S. territory added to the escalating tensions.
In response, Kazem Gharibabadi, Iran’s deputy foreign minister, dismissed Trump’s remarks, asserting that Iran held authority over the strait’s operations, emphasizing that it could only be controlled by Iran’s directives.
The Strait of Hormuz remains a critical focal point for global energy markets, with oil prices surging, including Brent crude nearing $90 US per barrel and U.S. gasoline prices reaching approximately $4 US per gallon.