Trump accuses big oil companies of ‘gouging’ consumers as gasoline prices fail to match falling crude costs, orders DOJ
US President Donald Trump said on Wednesday (June 24) that he has directed the Department of Justice (DOJ) to investigate oil companies for allegedly failing
US President Donald Trump said on Wednesday (June 24) that he has directed the Department of Justice (DOJ) to investigate oil companies for allegedly failing to reduce gasoline prices in line with falling crude oil costs, accusing the industry of "gouging" consumers. The directive comes as fuel prices remain elevated despite a sharp decline in global oil prices following an interim peace agreement between the United States and Iran. 'Gasoline prices better start going down' In a post on Truth Social shortly after midnight, Trump expressed frustration that gasoline prices had not fallen as quickly as crude oil prices. "Gasoline prices better start going down a lot faster than what I'm seeing!" The President argued that the decline at the pump has been insufficient compared with the drop in oil prices over recent months.
Trump accuses oil firms of 'gouging' Without naming specific companies, Trump accused major oil producers and refiners of failing to pass lower costs on to consumers. "The big Oil Companies are not dropping their price at the pump commensurate with the sharply lower prices they are paying for Oil. Those prices are dropping like a rock! In other words, customers are being 'gouged'." Trump added: "I have instructed the DOJ to immediately start looking into this." Neither the White House nor the Department of Justice immediately commented on the president's directive. Fuel prices fall, but not as much as crude The President's remarks came despite gasoline prices declining for six consecutive weeks amid easing tensions in the Middle East. According to GasBuddy data, the average US gasoline price stood at $3.906 per gallon on Wednesday, down more than 14% from its peak in May.
However, crude oil prices have fallen much more sharply over the same period. Crude oil prices are down about 23% since their May highs. US crude prices have fallen roughly 40% from their March peak. The decline followed an interim US-Iran peace deal and the reopening of the Strait of Hormuz, a critical route for global energy supplies. Trump argued that the gap between falling oil prices and retail fuel prices suggests consumers are not receiving the full benefit of lower energy costs. Also Read | Trump slams Congress for passing War Powers resolution to end Iran war Political pressure ahead of midterms The issue comes at a politically sensitive time for the White House. Consumer concerns over fuel costs remain high as Trump and fellow Republicans seek to defend narrow congressional majorities in November's midterm elections.
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