U.S. President Donald Trump urged gasoline retailers on Monday evening to lower prices at the pump as oil prices decline, warning sellers against price gouging.
“Retail gasoline sellers must lower their prices IMMEDIATELY,” Trump wrote on social media.
“If retailers fail to do so, major trouble lies ahead! Shoot for around $2.50 a gallon, and California needs to stop imposing such steep gasoline taxes,” Trump stated.
Last week, the president said he had instructed the Justice Department to investigate oil companies over high gasoline prices, accusing them of overcharging consumers.
Trump’s demands for fuel price reductions followed a sharp drop in oil prices in June, triggered by a preliminary peace agreement between the U.S. and Iran that freed up additional supply in the Middle East.
Brent crude fell to pre-war levels as flows through the Strait of Hormuz resumed after the U.S.-Iran deal. U.S. gasoline futures traded at $2.844 per gallon on Monday evening, though they remained above pre-war levels.
Despite the recent military escalation, the fragile agreement appears to hold, with Trump stating that new negotiations with Iran are scheduled for this week.
The push to lower oil prices comes amid growing criticism of the Trump administration over rising living costs, with high fuel prices being a major source of discontent among Americans.
Moreover, Trump’s pressure to reduce prices is taking place ahead of the midterm congressional elections in November.
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