Trump Orders DOJ Investigation Into Oil Companies Over Gasoline Price Lag

President Donald Trump directed the Department of Justice on June 24, 2026, to investigate major oil companies, claiming they are not reducing gasoline prices proportionally to sharp declines in crude oil costs. Speaking on Truth Social, Trump accused consumers of being "gouged," stating that oil companies are "not dropping their price at the pump commensurate with the sharply lower prices they are paying for oil" and demanded that "gasoline prices better start going down a lot faster than what I'm seeing."

Trump's directive came as crude oil prices declined significantly—dropping roughly 18 percent from their March highs. According to GasBuddy data, the average U.S. gasoline price stood at $3.85 per gallon as of mid-week, having fallen $0.141 per gallon the previous week. Trump referenced approximately 19 million barrels of oil passing through the Strait of Hormuz on June 22, characterizing the situation as evidence that "oil prices are tumbling down, and the world is a much safer place."

Energy experts and analysts, however, emphasized the complexity of gasoline pricing dynamics. Karen Young, a senior researcher at Columbia University's Global Energy Policy Center, characterized Trump's statement as "political theater," noting that U.S. gasoline prices include state and local taxes and do not respond immediately to crude price movements. Patrick De Haan from GasBuddy predicted that prices would not return to pre-conflict levels until at least mid-to-late 2027, while Richard Joswick from S&P Global Energy noted that inventory rebuilding following a U.S.-Iran agreement would delay any sharp price decline at the pump.

The investigation announcement coincided with Trump's midterm campaign messaging. On June 23, Trump addressed voters in a key Pennsylvania swing district, highlighting what he characterized as declining living costs and falling oil prices as evidence of improving economic conditions. The move reflected the administration's effort to frame energy market developments as a positive economic indicator ahead of the election cycle.