U.S. President Donald Trump issued a warning to fuel retailers nationwide to immediately lower pump prices. He noted that global crude oil prices have been steadily falling and set a target price of $2.50 per gallon. He declared that anyone continuing to inflate prices would face "big problems" and criticized California's fuel tax policy as exploitative to the people.
President Donald Trump posted on the social media platform Truth Social, sending a signal to businesses and retail gas stations nationwide, calling for an immediate reduction in gasoline prices to align with the declining global crude oil market.
Trump stated, "Fuel retailers must lower prices immediately! Prices are currently too high compared to crude oil, which has fallen to $68 per barrel and is expected to decline further. Retailers must respond promptly and do the right thing—'reduce prices for our great American people!' Price gouging is absolutely illegal. If you don't comply, big problems await! Start aiming for a price of about $2.50 per gallon."
Additionally, the U.S. leader seized the opportunity to sharply criticize California's fuel tax policy, saying California should stop imposing such exorbitant fuel taxes because soon the taxes might cost more than the fuel itself. The U.S. and Californians will not tolerate exploitation through absurd taxes, including from their own local government.
This move follows last week’s directive from Trump ordering the U.S. Department of Justice to investigate major energy companies for price gouging after finding that these companies deliberately failed to lower retail prices in line with the rapidly declining crude oil costs, which dropped sharply like a falling rock.
Previously, Americans faced sharply rising fuel costs triggered by the Middle East conflict after the U.S. and Israel launched attacks on Iran in late February, leading to retaliatory strikes. However, the situation eased following the implementation and extension of a ceasefire agreement in April and diplomatic efforts between the U.S. and Iran. Most recently, on 17 June, Trump signed a memorandum of understanding related to Iran, resulting in West Texas Intermediate crude oil prices dropping to about $70.24 per barrel.
Data from the American Automobile Association (AAA) indicated that as of 29 June, the national average gasoline price fell to $3.860 per gallon from $4.391 per gallon the previous month. However, this remains higher than the same period last year when the average was $3.187 per gallon.
The issue of high gasoline prices and living costs is becoming a major concern for American consumers and a key political challenge for President Trump and the Republican Party, who must address it promptly to maintain their majority in Congress ahead of the midterm elections set to begin in November.