The Trump Administration urges state prosecutors to act against possible anticompetitive practices so that the drop in crude oil benefits consumers
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The Department of Justice (DOJ) of the United States announced on Friday a new offensive to protect consumers from potential abuses in the fuel market, urging state attorneys general to investigate whether oil companies and gasoline distributors are artificially keeping prices high at the pumps, despite the recent drop in the international price of oil.
The initiative is part of the strategy promoted by the administration of President Donald Trump to ensure that the reduction in crude costs translates into direct relief for American families and to prevent companies in the sector from making extraordinary profits through practices that violate competition and consumer protection laws.
In a joint letter, the Deputy Attorney General of the Department of Justice, Stanley Woodward, and the Chairman of the Federal Trade Commission (FTC), Andrew Ferguson, expressed concern that the decrease in oil prices is not being reflected as quickly as expected at gas stations.
''While crude oil prices are falling rapidly, too much of that reduction is being withheld before reaching Americans when they pay for gasoline,'' both officials stated.
The United States Department of Justice will begin investigating abuses related to fuel prices
The document emphasizes that high fuel prices directly affect millions of citizens, including workers who rely on their vehicles to commute to their jobs, small business owners who use fuel for their operations, and families who end up paying more for products whose transportation also becomes more expensive due to high energy costs.
In light of this situation, the Department of Justice urged state prosecutors to use all available tools under antitrust and consumer protection laws to investigate possible illegal agreements between companies, coordinated price fixing, or any other conduct aimed at preventing competition from lowering gasoline costs.
Federal authorities emphasized that fluctuations in the international market do not justify anticompetitive behavior.
''The recent volatility in oil prices does not suspend antitrust laws or state consumer protection laws,'' Woodward and Ferguson stated, warning that no company can use market uncertainty as an excuse to engage in fraud, collusion, or other illegal practices that harm Americans.
Stanley Woodward, deputy attorney general, warned that no company can use uncertainty to commit acts of fraud
The decision comes just days after President Trump ordered the Department of Justice to investigate whether oil companies were keeping gasoline pricesabove what current oil costs justified.
In a post made on June 24 on Truth Social, the president expressed his dissatisfaction with the difference between the drop in crude prices and the value consumers continue to pay at gas stations.
''Big oil companies are not reducing prices at the pumps in proportion to the sharp drop they are paying for oil,'' Trump wrote. ''Oil prices are falling like a rock. In other words, consumers are being exploited. I have instructed the Department of Justice to investigate this situation immediately''.
President Trump expressed great discontent with local fuel prices compared to international oil prices
During the current week, the president reiterated that companies could face ''big problems'' if they continue to keep prices excessive and called for retailers to quickly reduce fuel costs.
Trump even suggested that the benchmark price should approach $2.50 per gallon, stating that there are gas stations that might be engaging in abusive practices against consumers.
Meanwhile, national gasoline prices continue to show a downward trend after reaching a peak in May. According to data from the American Automobile Association (AAA), the national average price for a gallon of regular gasoline was $3.82 on Friday, one cent less than the previous day and more than 40 cents below the level recorded a month ago.
The U.S. president assured that the reference price of gasoline in the local market should approach USD 2.50 per gallon
Trump also praised this week a fuel distribution company that announced special discounts for one day at 25 stations in the Philadelphia metropolitan area in celebration of the 250th anniversary of American independence. The president described the business decision as a positive example of responding to the drop in oil costs and called it a ''very smart'' measure.
The reduction in international oil prices began after the United States and Iran signed a memorandum of understanding in June that established a temporary cessation of hostilities and opened a 60-day period to negotiate its terms. The agreement alleviated concerns about global energy supply after the Strait of Hormuz had been practically blocked for more than three months, affecting the transit of nearly 20% of the oil traded worldwide.
With the gradual recovery of international energy flow, the Trump administration maintains that there are no longer reasons to justify keeping gasoline prices high and reaffirms that it will use all available legal mechanisms to ensure that the benefits of falling oil prices reach American consumers directly.
