“The big Oil Companies are not dropping their price at the pump commensurate with the sharply lower prices they are paying for Oil,” he wrote. “In other words, customers are being ‘gouged,’” he continued, adding he had instructed the Justice Department to investigate the issue, although offered no details on a timeline.
Prices have only lightly declined since then, and Trump is starting to point fingers. His latest target: the oil and gas industry that helped him return to office less than two years ago. Trump has accused major oil and gas companies of artificially inflating their prices as a result of the war.
In a statement to Fortune, a Justice Department spokesperson did not comment on the proposed investigations, but said rising gasoline costs—now sitting at an average of $3.91 a gallon, up from $3.22 a year ago—were a challenge for the administration.
“The price of fuel is not only a national security issue, it impacts the wallet of every American. We will always commit to ensuring affordability in this nation,” the spokesperson said.
A White House spokesperson similarly did not comment directly on the potential investigation, though reiterated the administration’s position that oil and gas prices would decline “as soon as the Iran situation is resolved.”
“President Trump has a proven track record of bringing gas prices to historic lows, and the administration continues to be laser-focused on delivering economic relief for the American people,” the spokesperson said.
“It’s going to take time,” Bonner said. “There is a lag between, you know, oil prices and reductions in oil prices and when that shows up at the pump, but we expect that prices will come down as things continue to normalize.”
Taking into account spending on advertising, donations to downballot Republicans, and congressional lobbying efforts, large oil and gas companies invested $445 million during the 2024 election cycle, the Climate Power report found.
The conflict in the Middle East has also proved a boon to energy interests. When the U.S. and Israel first began their coordinated attack on Iran in February, the Revolutionary Guard quickly responded by threatening most oil and gas tankers that dared to cross the critical Strait of Hormuz, sending energy prices soaring.
Even the American Petroleum Institute, the industry’s primary trade association, reiterated the disconnect between crude oil and regular gas costs: “Gasoline prices don’t move in lockstep with crude oil, especially during a major global disruption that is still affecting supply, refining, and inventories,” Bethany Williams, a spokesperson for the organization, told Fortune.
“Our industry shares the goal of delivering relief at the pump and restoring stability to global energy markets,” she said. “Our focus remains on supporting market stability and delivering the energy consumers need.”
Trump will hope gasoline prices might normalize long before elections, but whether oil and gas giants are taking advantage of drivers or not, the economics of gasoline pricing might work against the Republican Party this midterm season.
