At a rally in New York, US President Donald Trump called on Americans to bear the burden of slightly increased gasoline prices amid ongoing tensions with Iran. The president argued that paying “a tiny little bit more” for fuel is a small sacrifice to prevent Iran from developing nuclear weapons. Trump also floated the idea of declaring the Strait of Hormuz, a critical maritime chokepoint, as “a territory of the United States” should the US successfully overcome Iran.
In response, Iran has dismissed Trump’s assertions, maintaining its control over the strategic waterway. Iran’s Deputy Foreign Minister, Kazem Gharibabadi, stated that the blockade would persist until the US acknowledges what he termed as its defeat. Meanwhile, Iranian Foreign Minister Abbas Araghchi emphasized that Tehran has not yet decided to re-engage in negotiations with Washington, asserting that the resumption of shipping through the strait is contingent on the US meeting Iran’s stipulated conditions.
The standoff has significantly impacted tanker traffic through the Strait of Hormuz, a vital corridor for the transportation of global oil and natural gas. This uncertainty has contributed to a rise in crude oil prices, subsequently leading to increased fuel costs. Currently, the average price of gasoline in the US is approximately $4.08 per gallon, marking a 29% rise compared to the previous year. Brent crude prices are also experiencing a substantial weekly hike.
Iran’s economy is feeling the strain of these developments as well. Iranian President Masoud Pezeshkian has attributed the country’s escalating inflation to the US-imposed blockade, alongside sanctions and limitations on Iranian oil exports. Despite these economic pressures, diplomatic efforts to reach a ceasefire remain at a standstill, with the Trump administration considering further financial actions against Tehran.