DAVID BLACKMON: How Trump’s Energy Dominance Insulates Americans From Worst Impacts Of Iran Conflict
The ongoing conflict with Iran led by the U.S. and Israel has presented a mixed bag for American consumers, who have been hit with rising gasoline prices at the pump. Otherwise, they have remained largely insulated from…
The ongoing conflict with Iran led by the U.S. and Israel has presented a mixed bag for American consumers, who have been hit with rising gasoline prices at the pump. Otherwise, they have remained largely insulated from consequences suffered in most other nations across the globe for one simple reason: President Donald Trump’s Energy Dominance agenda.
AAA reported on Friday that the nationwide average price for a gallon of regular gas stood at $3.32, an 11 percent rise from the week before. That is a fairly muted price response to the effective closing of tanker traffic through the Strait of Hormuz but be warned: Crude prices had risen by 30% as of Friday since the conflict began, meaning the full impact of that shut-down has yet to make its way fully into the cost of gasoline.
So, more consumer pain at the pump is on the way. That is especially true in Gavin Newsom’s California, where prices had already risen well above $5/gallon in many parts of the state, with regular averaging a whopping $4.90/gallon thanks to the California Democratic Party’s taxes and myriad environmental fees.
Newsom’s regulators aren’t satisfied, though. Those at the California Air Resources Board (CARB) are busy planning another costly move related to Newsom’s pet cap-and-trade program on carbon emissions. It’s green craziness on a grand scale, implemented by politicians who live in a fantasy world.
Otherwise, though, Americans are well insulated from the worst possible impacts that other countries will experience in the coming days and weeks. For example, thanks to the oil boom that took place under the “Drill, Baby, Drill” agenda of Trump’s first presidency, only 3% of Middle East exports flow to the U.S. daily. This means there is essentially no chance of Americans suffering any kind of supply shortage.
By contrast, more than 75% of Persian Gulf crude flows to China and other Asian markets. The communist Chinese government is so concerned about its situation that it ordered domestic refineries to