Even if the strait were to be opened, Aw adds “whether it functions normally again” is the pressing question. “Shipping confidence, insurance costs, and logistical bottlenecks tend to persist well after hostilities ease,” Aw explained. Trump has hinted to ABC News that the U.S. and Iran should jointly charge tolls for passing vessels.
What to expect at the pump
Because of the war, prices of gasoline—the refined product from crude oil—in the U.S. have risen to above $4 a gallon, the highest since the war between Russia and Ukraine began in 2022, and a dollar more expensive than in February, before the hostilities.
With oil prices going down, there’s an expectation that gasoline prices will track oil. But any change will also not be immediate, given the oil refinery supply chain, which could take months: crude is delivered to a refinery to produce gasoline, which is moved to a distribution center, and from there, to gas stations around the U.S.
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