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 the Strait of Hormuz is reopened, saying costs would drop in a way Americans have not previously experienced.
Hassett declined to discuss the details of ongoing U.S. negotiations or military strikes related to Iran, but said the reopening of the critical waterway would trigger a significant shift in energy markets. The strait is a key chokepoint for global oil shipments.
The remarks come as consumers continue to feel pressure at the pump. All 50 states have recently seen gas prices top $4 per gallon as the downstream effects of tensions in the region continue to ripple through domestic energy markets.
Hassett’s comments signal the administration expects the strait’s reopening to provide meaningful economic relief, though he offered no specific timeline for when that might occur.