The price of oil has surged in response to the Trump administration’s actions against Iran, driven by a “fear premium” in the market. However, Energy Secretary Chris Wright predicts that the inflation caused by Iran’s influence on oil prices is “finally going to come to an end” as normal shipping operations are expected to resume soon.

During an appearance on CNN’s “State of the Union” on Sunday, Wright expressed optimism: “I believe it won’t be long before we see the regular movement of ships through the Straits of Hormuz. Traffic is far from normal at this point, but this situation will improve. In the worst-case scenario, we’re talking a few weeks, not months.”

Wright noted, “The world currently has ample oil supplies. The U.S. is a net exporter of both oil and natural gas. While we are experiencing high oil prices, it’s due to the interconnected nature of the global market, not a shortage of natural gas.”

Oil prices have reached their highest levels since mid-2022, fueled by production cuts from some major suppliers and concerns over potential long-term shipping disruptions amid the escalating U.S.-Israeli conflict with Iran. Despite these challenges, Wright remains hopeful that the situation is temporary.

Energy Secretary Chris Wright supports President Donald Trump’s decisive actions regarding Iran, confident that the oil price inflation instigated by Iran will soon subside. (Aaron Schwartz/CNP/Bloomberg via Getty Images)

Wright emphasized the efforts to coordinate with international allies, stating, “We’re in communication with our global partners. The oil supply is available. The current market is experiencing a slight fear premium, but there is no shortage of oil or natural gas today.”

Wright maintained that the Trump administration is “all in on lowering energy prices, and I would say quite successfully,” pointing to overall decreases in gas prices.

“Gasoline today is still $1.50 a gallon cheaper than it was in the middle of the Biden administration,” he noted. “But you’re right. We want it back below $3 a gallon. And it will be again before too long.”

Wright stressed again that “this is a weeks, this is not a months thing.”

The secretary emphasized the importance of conducting the military campaign against Iran, despite the current impact on oil prices.

“It is simply unacceptable for the United States, for the Middle East geography and for the world economy to have a terrorist regime with nuclear weapons and a gigantic missile arsenal,” Wright concluded.

“They have raised energy prices for Americans for decades. It’s finally going to come to an end.”

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