WASHINGTON (NEXSTAR) – Some changes involving the Middle East could have an impact on what you pay at the gas pump.
The Trump administration is cracking down on countries that import oil from Iran. Secretary of State Mike Pompeo announced Monday that starting next month, the U.S. will no longer exempt any countries from sanctions for buying Iranian oil.
“We’ve already seen really expensive gas prices in the last few weeks,” said Jeanette Casselano, with AAA.
She said the price at the pump is about to get even more expensive in the coming weeks.
“Now how long that is going to last and how high they will go is going to be dependent on crude oil prices.”
Casselano said oil prices rose 3% on Monday morning. She said that’s a direct response to the Trump administration’s announcement that the U.S. plans to slap sanctions on any country that imports Iranian oil.
“Crude oil prices are going to be impacted and rise, and when that happens, you are going to pay more at the pump.”
Pompeo said the U.S. is working with the Kingdom of Saudi Arabia and the United Arab Emirates to increase oil production and ease the pain.
“I can confirm that each of those suppliers are working directly with Iran’s former customers to make the transition away from Iranian crude less disruptive.”
“I think that you are going to see the price go up and down depending on what day it is,” said Brian Hook, with the State Department.
Hook predicts prices will fluctuate as countries stay looking away from Iran for oil. He said that’s good news for oil suppliers here at home.
“Our own government is predicting supply will exceed demand in 2019 and so we think it will be good for both producers and consumers.”
Pompeo said sanctions will go into effect May 2.