Trump orders DOJ review of oil companies, says consumers are being ‘gouged’ at the pump

WASHINGTON, DC: President Donald Trump said on Wednesday, June 24, that he has directed the Department of Justice to examine pricing practices by major oil companies, arguing that consumers are not seeing gasoline prices fall as quickly as crude oil prices.

Trump accused oil companies of failing to pass along savings from declining oil costs to motorists and said the Justice Department would begin reviewing the issue. His remarks came as oil prices continued to ease following reduced concerns about disruptions to shipping through the Strait of Hormuz.

Trump says fuel prices should fall faster as oil costs decline

Trump said major oil companies were failing to reduce gasoline prices at the pump despite paying less for crude oil, and announced that he had directed the DOJ to examine the issue. In his post, the president argued that falling oil prices should be reflected more quickly for consumers and accused companies of charging higher prices than expected.

“The big Oil Companies are not dropping their price at the pump commensurate with the sharply lower prices they are paying for Oil. Those prices are dropping like a rock! In other words, customers are being gouged,” Trump wrote.

He added, “I have instructed the DOJ to immediately start looking into this. Gasoline prices better start going down a lot faster than what I’m seeing!”

His comments came as benchmark oil prices moved lower on Wednesday, June 24, trading. Brent crude futures and West Texas Intermediate crude both declined as concerns over potential supply disruptions in the Strait of Hormuz eased.

The shipping route remains a critical artery for global energy markets, and investor concerns have softened following diplomatic efforts aimed at reducing tensions in the region.

Remarks follow Pennsylvania speech focused on affordability

The president's comments followed a speech in Pennsylvania a day earlier in which he touted lower energy prices and argued that falling oil costs would help bring down the price of other goods and services.

Speaking to workers and supporters, Trump argued that oil prices were moving lower and would have a broader effect on consumer costs. “That oil is going to come charging down. And with oil comes everything else,” Trump said. “The average price of gasoline nationwide is down $0.60 a gallon just from a short while ago,” Trump said during his speech.

According to AAA data, the average price of a gallon of regular gas as of Tuesday, June 23, is about $3.92 nationwide, following the memorandum of understanding reached between the United States and Iran aimed at continuing nuclear negotiations and maintaining shipping through the Strait of Hormuz.

Trump did not provide details on what specific actions the Justice Department would take or which companies would be examined.