Washington, March 12: The escalating oil prices due to the Middle East crisis have caused global concern. Many countries are seeking ways to reduce fuel consumption. In this context, U.S. President Donald Trump stated on Thursday that rising oil prices mean “we (the U.S.) are making a lot of money.”
Trump appears to be trying to downplay the rising oil prices and market volatility linked to Iran. He emphasized the benefits for America in a post on Truth Social.
He wrote, “The U.S. is the world’s largest oil producer, so when oil prices rise, we benefit significantly. However, the most important thing for me is to prevent a ‘dangerous power’ like Iran from acquiring nuclear weapons, as it poses a threat to the Middle East and the entire world.”
He claimed, “I will never let that happen.” Trump’s comments come at a time when the International Energy Agency (IEA) has warned that increased attacks from Iran could lead to the largest disruption in global oil supply in history.
On Wednesday in Ohio, Trump commented on rising gas prices, saying, “I would say it has increased a bit less than we thought.” He reassured, “It will drop so low that no one will understand.”
Amid the crisis in West Asia, IEA member countries agreed on Wednesday to release 40 million barrels of oil from their emergency reserves to address disruptions in the oil market.
These reserves will be made available to each member country according to their national circumstances within a specified timeframe. Additionally, some countries will take further emergency measures. India has also welcomed this initiative.
IEA member countries collectively hold over 1.2 billion barrels in emergency oil reserves, while industries have about 600 million barrels in additional reserves mandated by the government. This coordinated release marks the sixth occasion in IEA history, with previous actions taken in 1991, 2005, 2011, and twice in 2022. The IEA was established in 1974.
According to the IEA, the ongoing conflict in West Asia prompted Executive Director Fatih Birol to convene a special meeting of member countries to assess market conditions and explore options to address supply disruptions, leading to this decision.
Since the conflict began on February 28, oil supply through the Strait of Hormuz has been affected. Currently, exports of crude oil and refined products are less than 10 percent of pre-conflict levels.
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My name is Ganpat Singh Choughan. I am an experienced content writer with 7 years of expertise in the field. Currently, I contribute to Daily Kiran, creating engaging and informative content across a variety of categories including technology, health, travel, education, and automobiles. My goal is to deliver accurate, insightful, and captivating information through my words to help readers stay informed and empowered.
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