Summary:

• Donald Trump said the U.S. is waiving certain oil-related sanctions to help ensure adequate global supply and lower prices during the Middle East conflict.

• He pointed to additional crude supplies coming from Venezuela, including roughly 100 million barrels already delivered to U.S. refineries and another 100 million reportedly on the way.

• Trump argued the Strait of Hormuz matters more to countries like China than to the United States.

  • He’s wrong on this. In reality, the chokepoint remains highly relevant to the U.S. because disruptions there still drive global oil prices and therefore U.S. fuel costs.

  • Roughly one-fifth of global oil flows pass through the Strait of Hormuz, meaning any disruption quickly reverberates across global markets and the American economy.

• The comments come as the Trump administration pursues multiple measures to stabilise energy markets during the war with Iran.

U.S. President Donald Trump said Washington is temporarily waiving certain oil-related sanctions as part of an effort to maintain global crude supply and prevent a sharp spike in energy prices amid the war with Iran.

Speaking at a news conference at his Doral golf club, Trump said oil prices had not risen as dramatically as initially feared and argued that relaxing some sanctions could help keep the market well supplied.

“We have sanctions on some countries. We’re going to take those sanctions off until the Strait is up,” Trump said, referring to the Strait of Hormuz, the narrow waterway linking the Persian Gulf to global energy markets.

Although the president did not specify which sanctions might be eased, Washington recently issued a temporary waiver allowing India to purchase Russian crude that was already at sea, a move aimed at easing pressure on global supply.

Trump also highlighted alternative sources of crude entering the U.S. market. He said around 100 million barrels of Venezuelan oil had already been delivered to refineries in Houston, with another 100 million barrels expected to follow, helping to cushion supply disruptions tied to the Middle East conflict.

At the same time, Trump argued that the Strait of Hormuz is of greater strategic importance to other economies than to the United States.

• The Strait of Hormuz does not pertain to the U.S. — it’s important to China and other countries, he said.

However, energy analysts widely dispute that view. Even though the United States produces large amounts of oil domestically, it remains heavily exposed to global price movements. Around 20% of the world’s seaborne oil passes through the Strait of Hormuz, making it one of the most critical chokepoints in the global energy system.

If shipping through the strait is disrupted, global oil prices typically rise sharply, which directly affects U.S. gasoline prices, inflation and financial markets.

The Trump administration has therefore pursued a range of measures to stabilise energy markets, including possible naval escorts for tankers and financial support for shipping in the Gulf.

For markets, the key issue remains whether Middle East supply disruptions escalate further or whether additional crude from countries such as Russia or Venezuela can offset the shock.