Trump's No-Strike Order Threatens Global Oil Supplies and US Fuel Prices
US Secretary of State Marco Rubio did not rule out reconsidering Donald Trump's decision not to strike the Houthis, which could put Saudi oil supplies at risk and drive up fuel prices in the United States. The risks to Saudi exports are growing amid restrictions on shipping in the Middle East.
The United States and Israel began their war against Iran on February 28, partially restricting tanker traffic through the Strait of Hormuz. Now, according to CNN, alternative oil routes are under threat as Iran's allies have attacked the key East-West Pipeline, while the Houthis have established de facto control over the Bab el-Mandeb Strait and declared a blockade of Saudi shipping.
Crown Prince Mohammed bin Salman asked the United States to intervene militarily, but Washington refused. According to Neil Quilliam of the Chatham House think tank, the effects of shipping disruptions will go beyond current changes in oil prices and could be long-lasting.
A decline in Saudi exports poses an economic risk to the United States, particularly ahead of midterm elections in November. This could lead to a possible rise in fuel prices for American drivers.