President Donald Trump on Monday issued a direct ultimatum to gasoline retailers, demanding they lower prices immediately as the national average remains elevated despite a recent decline from last month's highs. In a post on Truth Social, Trump wrote, 'Gasoline Retailers must get their Prices down, IMMEDIATELY! They're too high considering that Oil is now at $68 a Barrel, and heading south.' He added, 'The Retailers must quickly react to this statement, and do what they know is right — DROP YOUR PRICE FOR OUR GREAT AMERICAN PEOPLE!'
The president warned that price gouging 'will not be tolerated,' reiterating his earlier directive to the Department of Justice to investigate potential violations at the pump. 'There will be no gauging, which is totally illegal,' Trump wrote, using a misspelling common in his social media posts. He cautioned that if retailers engage in price gouging, 'big problems lie ahead!'
Trump also took aim at California, where average gas prices remain the highest in the nation at $5.43 per gallon as of Tuesday, down from over $6 last month, according to AAA data. He called on the state to slash its gasoline taxes, writing, 'Start targeting around the $2.50 a Gallon number, and California should stop charging such heavy Taxes on their Gasoline. Soon the Tax will be higher than the Product itself, and the United States will not stand for it, nor will the People of California, who are being abused by these ridiculous Taxes, and by their own Government.'
The national average price for regular gasoline now stands at $3.85, a significant drop from $4.36 last month and below the four-year high of $4.56 reached just before Memorial Day weekend. The decline comes as oil prices have fallen to around $68 a barrel, and as the U.S.-Israel conflict with Iran, which began in February, has disrupted global energy markets.
The price spike was largely triggered by Iran's closure of the Strait of Hormuz, a critical chokepoint through which about 20 percent of the world's oil passes. However, a memorandum of understanding (MOU) between the U.S. and Iran has since been signed, committing both nations to reopen the strait and ensure the free flow of vessels carrying oil and gas exports. The agreement followed a tense weekend flare-up after Trump claimed an Iranian drone struck a commercial vessel near Oman, prompting U.S. retaliatory strikes on Iranian targets ordered by U.S. Central Command. Trump subsequently threatened Iran's existence and accused Tehran of violating the ceasefire.
Gas prices are shaping up to be a decisive issue for voters ahead of the November midterm elections. A Gallup poll released last week found that 67 percent of respondents said recent price increases in gasoline have caused 'financial hardship' for themselves or their households. The administration's handling of energy costs could influence key races, particularly in battleground states where voters are feeling the pinch.
While prices are expected to continue falling barring any changes to the MOU or renewed conflict, experts warn that the upcoming hurricane season poses a risk to fuel exports. According to a 2023 report from the U.S. Energy Information Administration, a major storm could disrupt Gulf Coast refineries and bump prices up by 25 to 30 cents per gallon.
Trump's latest remarks come amid a broader political push to frame the midterms as a choice between his administration's economic record and what he calls the 'radical' agenda of Democratic Socialists. In recent weeks, the president has escalated attacks on progressive candidates, branding them as 'communists' and warning that they pose the biggest threat to U.S. democracy since the founding. Meanwhile, the Supreme Court has handed Trump major wins on firing power and mail-in ballots, while also ruling against Temporary Protected Status recipients, upholding his authority to end those protections.
