As tensions persist between the United States and Iran, President Donald Trump has called on Americans to brace for slightly higher gasoline prices due to disruptions in the Strait of Hormuz. Addressing a rally in New York, Trump emphasized that paying “a tiny little bit more” for gasoline is a necessary sacrifice to prevent Iran from acquiring nuclear weapons. He also mentioned the possibility of declaring the strategic waterway a U.S. territory following a victory over Iran.
Iran has dismissed Trump’s remarks, maintaining its control over the Strait of Hormuz. Deputy Foreign Minister Kazem Gharibabadi stated that Iran will uphold its blockade until the U.S. acknowledges its alleged defeat. Meanwhile, Iranian Foreign Minister Abbas Araghchi noted that Tehran has not yet decided to resume talks with Washington, asserting that shipping through the strait will only restart if the U.S. meets Iran’s demands.
The ongoing standoff has significantly affected tanker traffic through the Strait of Hormuz, a critical channel for global oil and natural gas shipments. This uncertainty has led to a rise in crude oil prices, consequently driving up fuel costs. The average price of gasoline in the United States has risen to approximately $4.08 per gallon, marking a 29% increase from the previous year. Additionally, Brent crude prices are poised for a notable weekly increase.
Economic repercussions are also evident in Iran, where President Masoud Pezeshkian has attributed the country’s rising inflation to the U.S. blockade, sanctions, and restrictions on Iranian oil exports. In response to the stalled efforts to reach a ceasefire, the Trump administration has threatened further financial measures against Tehran.