Donald Trump’s closest White House aides are scrambling to control the fallout from his ill-advised war on Iran as fuel prices hit new highs ahead of the midterm elections.
The conflict, launched by Trump in February without congressional authorization, has disrupted the global energy market and closed the Strait of Hormuz, a crucial route for oil shipments, driving up energy prices worldwide.
Brent crude climbed to around $109 a barrel on Monday, its highest level since May, while gasoline has reached $4.32 a gallon and diesel a record $6.23, according to AAA.
According to Politico, the crisis has led to “frustration” in the White House as officials desperately seek an exit strategy before elections that could see Trump lose his grip on Congress.
The cost to American households is mounting. Brown University’s Iran War Energy Cost Tracker estimates the conflict has added more than $100 billion to U.S. gasoline and diesel costs, with the average household paying more than $750 extra.
The squeeze is also hitting supplies. An ExxonMobil refinery in Joliet, Illinois, suffered a power outage Sunday and is expected to operate at reduced output through the end of the week, while Costco has reportedly imposed limits on purchases of its Kirkland Signature motor oil.
And there is little sign of a quick way out.
A key Saudi pipeline has been shut down following an attack, while an Iranian-backed group has tightened its grip on another major energy chokepoint as negotiations to end the war continue to stall.
Trump has repeatedly suggested the conflict will end soon. But former Pentagon chief Leon Panetta warned this month that the war could drag on for at least another six months, raising the prospect of prolonged pressure on energy prices.
Inside the White House, the mood is reportedly grim.
“The mood in the White House is ‘frustration they can’t get this resolved,’” Stephen Moore, a former Trump economic adviser, told Politico.
Moore described high energy prices as a “tax on the economy” that is offsetting positive trends such as rising retirement savings and stock-market growth.
“The problem is there’s not too much they can do about it,” he said. “It’s a global market, it’s a global oil supply.”
An outside energy adviser said the situation was creating “anxiety” inside the White House.
The administration has been exploring ways to increase U.S. refining capacity, including potentially invoking the Defense Production Act. But the refining sector is already operating at close to 98 percent capacity, limiting how quickly additional output could come online.
“They’re still looking for magic bullets,” the former adviser told Politico.
Until they find one, soaring energy costs are becoming a political problem with the midterms approaching.
A CBS News/YouGov poll found 54 percent of likely voters would support the Democratic candidate in their congressional district if the election were held today, compared with 46 percent for the Republican.
Republican strategist Doug Heye summed up the pressure facing his party on CNN’s The Source with Kaitlan Collins:
“Republicans know that their back is against the wall,” Heye said.
The Daily Beast has contacted the White House for comment.
