U.S. President Donald Trump on June 23 called for urgent measures to prevent rising oil prices amid escalating tensions with Iran.
"Everyone, keep oil prices down. I'm watching," Trump wrote on Truth Social. "To the Department of Energy: Drill, baby, drill! And I mean now."
The post comes after global oil prices surged on June 13 following a series of Israeli air strikes on Iranian nuclear facilities. The escalation sparked fears of broader conflict in the energy-rich Middle East, home to critical oil shipping routes.
The surge in oil prices risks undermining Western attempts to curb Russia's war funding, as the Kremlin relies heavily on oil revenues to sustain its invasion of Ukraine. President Volodymyr Zelensky has warned that a price surge could further embolden the Kremlin.
On June 21, the U.S. joined Israel in conducting airstrikes that targeted three nuclear facilities in Iran — Fordow, Natanz, and Esfahan. The operation triggered a strong response from Tehran, which threatened to block the Strait of Hormuz, a key global oil transit route.
U.S. Vice President JD Vance responded on June 22 that any Iranian attempt to shut the strategic waterway would "destroy their own economy." The strait is a vital chokepoint for global energy supplies, with nearly a fifth of the world's oil passing through it daily.
Amid the turmoil, the EU has reportedly postponed plans to tighten the $60-per-barrel price cap on Russian crude, originally imposed in December 2022. The mechanism restricts Western firms from shipping or insuring Russian oil sold above that threshold.
The Russian Finance Ministry has relied heavily on energy revenues to sustain defense spending, which hit record highs this year.
Natalia Yermak
(Updated: )
