Source: https://apnews.com/article/trump-iran-oil-hormuz-7abbe9d8140de1e61355fb3ddb94639d
Since the start of the U.S war with Iran, oil prices and gasoline prices have spiked, as the Trump Administration struggles to assure the U.S population that it will benefit all. Only two weeks earlier, Trump highlighted the low gas prices achieved under his presidency, around $2.30 per gallon, as an economic success. However, after the conflict pushed prices over a dollar higher at $3.60 per gallon, Trump has shifted his messaging to maintain American approval. Trump is now framing the increase in oil price as a benefit to the United States because it is the world’s largest oil producer. The war has disrupted global oil supply as key trade routes such as the strait of Hormuz, have been closed. This closure not only impacts U.S oil prices, but the entire worlds as rough.y ⅕ of the worlds oil passes through the strait. As the risks of attacks increase, many oil tankers are avoiding the route, causing global oil prices to surge to around $100 a barrel. The U.S government is struggling to provide a clear timeline for reopening the strait while officials are focused on weakening the power of Iran’s offensive capabilities.
From a IB global politics perspective, this situation demonstrates the key concepts of interdependence, power and sovereignty. Military power is being used to pursue strategic goals in the middle east, but the resulting disruption of oil and energy sources shows how interconnected global markets are. Decisions made in one region can quickly influence stability, prices and inflation worldwide. The crisis also reveals tensions between domestic political interests and broader geopolitical strategies.
Looking forward, if the conflict continues or the Strait of Hormuz remains unstable, oil prices will likely remain inflated. This could slow economic growth and create political pressure within the United States ahead of key upcoming elections. In the long term, this conflict may force governments to diversify energy sources and reduce reliance on vulnerable global supply routes.