Washington, United States. Donald Trump discussed with oil executives how to mitigate the impact of a possible months-long U.S. blockade of Iran’s ports, a White House official said, as the United States renewed calls for other nations to help open the Strait of Hormuz.
Talks with oil executives and blockade plans
A White House official said Trump and oil executives discussed steps he has taken to alleviate global oil markets and steps the administration could take to continue the current blockade for months if needed while minimizing the impact on American consumers.
The talks on Tuesday followed a deadlock in efforts to resolve the conflict, which has led the United States to try to squeeze Iran’s oil exports with a naval blockade aimed at forcing it to reopen the strait to shipping.
Diplomacy and public threats
As Washington and Tehran traded public threats, mediator Pakistan was trying to avoid escalation while the two sides exchanged messages on a potential deal, a Pakistani source told Reuters on Wednesday.
Trump has said Iran can call if it wants to talk and, in a post on Truth Social earlier on Wednesday, said Tehran “couldn’t get its act together.”
Market reaction and cost of the war
Oil prices rose more than 6% on Wednesday, with the Brent contract hitting a one-month high on prospects of a lengthy blockade.
The war has cost the U.S. military $25 billion so far, a senior Pentagon official said, providing the first official estimate of the price tag for the conflict.
Strait disruptions and military planning
Iran has pledged to continue disrupting traffic through the Strait of Hormuz as long as it is threatened, which may mean more Middle East oil supply disruptions from a conflict that has killed thousands and brought global economic upheaval.
With talks stalled, Trump is set to receive a briefing on Thursday on new plans for potential military action from the leader of the U.S. Central Command, Axios said.
Warnings and nuclear dispute
Tehran warned on Wednesday of “unprecedented military action” against continued U.S. blockading of Iran-linked vessels.
Trump has said Iran cannot have a nuclear weapon, while Tehran says its nuclear ambitions are peaceful.
How do you think a prolonged blockade could affect oil prices and consumer costs where you live?
