Governor Gavin Newsom has cautioned Californians to brace for potential increases in gas prices that could last for months. He attributes these anticipated hikes to President Donald Trump’s military actions in Iran, as well as California’s growing dependence on foreign oil.
During a press conference in Hayward on Monday, Newsom stated, “Gas prices are going up…you’ll be paying more because of Trump’s war.” His remarks came as part of a broader discussion about the potential economic impacts of international conflict.
Newsom revealed that state officials have been thoroughly preparing for worst-case scenarios over the weekend. “We have specifically…had extensive conversations gaming out worst-case scenarios,” he elaborated, highlighting the state’s proactive measures.
Expressing further concern, Newsom warned of “gas scarcity and the potential spiking of prices in the next days, weeks, and potentially months.” He referenced statements from Trump suggesting that the instability could persist for an extended period, potentially affecting consumers for months.
However, Newsom’s comments drew criticism from Republicans and representatives from the oil industry. They dismissed his claims, arguing that the governor has played a part in California’s increased reliance on imported oil, which heightens the risk of gas price fluctuations.
Gas prices were already ratcheting up Monday as crude oil hovered near $80 per barrel.
Rep. Vince Fong (R-Bakersfield) called Newsom’s statements “dangerous and irresponsible — a failure to meet the moment” in a statement on X.
“His policies have made our state increasingly dependent on foreign oil while dismantling in-state production, jeopardizing pipeline infrastructure, and crippling our refining capacity,” Fong said.
“Now, California is weaker and more exposed to foreign powers than ever before.”
California’s oil production has fallen under Newsom’s governorship with two major refineries, the Phillips 66 refinery and the Valero facility in Benicia, winding down operations. The Phillips 66 site in Bakersfield shuttered in December and the Benicia refinery is expected to close this year.
Critics blame Newsom’s strict environmental regulations like a refinery price-cap law signed in 2023 for accelerating refinery closures and increasing demand for foreign oil. Facing a looming crisis, Newsom signed SB 237 last year to allow up to 2,000 new drilling permits per year in Kern County.
Newsom was blasted Sunday by the US Oil & Gas Association after boasting that California gas prices have stayed under $5 for two years, though they remain the highest in the country.
“California imports 63% of its crude from foreign countries – despite sitting on at least 1.7 billion barrels of proven reserves,” the post wrote in an X post.
“The only state worried about rattling foreign markets is California because you have let yourselves become dependent on foreign supplies. You’ve done this to yourselves,” the post continued.
California has prices averaged $4.65 as of Monday, according to the latest figures from AAA, compared to a national average of $2.99 a gallon.
Newsom added Monday that “because of those refinery issues we’ve got a wonderful group of people meeting on a consistent basis already” to discuss oil supply issues.
