Top executives warn Trump that even worse price hikes are coming – and soon

President Donald Trump reacts as he speaks to members of the media on board Air Force One en route from Scotland, Britain, to Joint Base Andrews, Maryland, U.S., July 29, 2025. REUTERS Evelyn Hockstein

At a time when voters are ready to hand Republicans a midterm revolt over the economy, Politico reported this week that top executives warned President Donald Trump that prices are about to get much worse if he does not solve the war in Iran.

Trump remains embroiled in negotiations for a lasting ceasefire and resolution to the war, which he started, with Iran's new hardline leadership refusing his demands. As that situation continues to spiral, the Strait of Hormuz remains either closed off or dangerous, depending on the day, sending global oil prices surging as a result.

According to a Thursday report from Politico, oil executives have warned Trump and his administration that, as bad as things are now, they are about to get much worse if the Strait is not reopened in a matter of weeks, citing sources close to the discussions. Without the oil that gets shipped through the body of water, global oil reserves will start to dwindle to a dangerous degree, sending prices to new heights.

"Industry executives have flagged the issue to senior White House officials and Cabinet members in recent weeks as part of the Trump administration’s ongoing dialogue with the U.S. energy industry, the people said," the report detailed. "The warnings came as recently as late last month as data from the U.S. Energy Information Administration and other sources began showing that fuel makers were increasingly relying on oil and fuel from their storage tanks to replace products no longer arriving from the Middle East."

It added later: "Some of the conversations have been general warnings while others have focused on tight inventories of specific fuel types in particular locations, such as jet fuel on the West Coast, a second person involved in the conversations said."

In response to Politico's query about the supposed warnings, the White House gave only a terse response blasting the outlet for citing anonymous sources.

“We’re at dangerously low levels already,” one of those sources, an anonymous industry executive, told Politico. “We have shared those concerns at the highest levels of government about what’s coming in mid-to-late June. … I hope they are paying attention to inventories right now. You’re hitting tank bottom.”

Exxon executive Neil Chapman recently told investors that crude barrels could reach $150-160 in two or three weeks. Another anonymous executive told Politico that the White House has already been made aware of that and warned of the crunch coming for consumers during the big holiday travel rush.

“Don’t think that an open strait is going to mean your July 4 gasoline bill isn’t going to be higher than what it is today," they said. "It’s going to be.”

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