Hassett Says Energy Prices Will Fall Sharply Once Strait of Hormuz Reopens
National Economic Council Director Kevin Hassett predicted a dramatic decline in energy prices once Iran reopens the Strait of Hormuz, a critical shipping corridor for global oil supplies.
Speaking publicly on the matter, Hassett said prices would fall at a magnitude Americans have not previously witnessed, while declining to detail the status of ongoing diplomatic negotiations or military activity in the region.
The comments come as fuel costs have remained elevated across the country, with the strait’s restricted status continuing to exert upward pressure on crude oil markets. The Strait of Hormuz is one of the world’s most strategically significant energy chokepoints, with roughly 20 percent of global oil supply passing through it.
Hassett did not offer a timeline for when the strait might reopen or provide details about what negotiations are currently underway.