As tensions with Iran persist, US President Donald Trump has called on Americans to accept slightly higher gasoline prices, attributing the increase to disruptions in the Strait of Hormuz. Speaking at a rally in New York, Trump emphasized that paying a “tiny little bit more” at the pump is a worthwhile trade-off to prevent Iran from developing nuclear weapons. He also suggested the possibility of declaring the strait a US territory should Iran be defeated.
In response, Iran has dismissed Trump’s assertions. Deputy Foreign Minister Kazem Gharibabadi asserted that the Strait of Hormuz would remain under Iranian control, and reiterated that the blockade would continue until the US recognized its defeat. Meanwhile, Iranian Foreign Minister Abbas Araghchi noted that Iran has not decided to resume negotiations with the US, insisting that shipping through the channel will only resume if Washington meets Tehran’s conditions.
The standoff has significantly disrupted tanker traffic through the Strait of Hormuz, a critical pathway for global oil and natural gas shipments. This disruption has led to an increase in crude prices, exerting upward pressure on fuel costs. As a result, the average price of gasoline in the US has climbed to approximately $4.08 per gallon, marking a 29% increase compared to the same period last year. Similarly, Brent crude prices are on course for a notable weekly surge.
The economic ramifications are affecting Iran as well. Iranian President Masoud Pezeshkian has attributed the nation’s rising inflation to the US-imposed blockade, sanctions, and restrictions on Iranian oil exports. Despite these challenges, the Trump administration has signaled the possibility of further financial measures against Tehran as diplomatic efforts to broker a ceasefire remain at an impasse.