Letter from the US: Trump and $1 gasoline

The oil and gas industry will replace its capital discipline with Trump compliance and consumers will benefit from lower gasoline prices

The incoming Trump administration wants low gasoline prices. The data makes clear that the high fuel prices of 2023 and early 2024 contributed to the president-elect’s victory, and a return of high prices in 2025 and 2026 could lead to significant Democratic gains in the midterm elections. Trump will try to prevent this by granting the oil industry’s wishes for less regulation and more leasing and then demanding large output increases to hold down prices. The 3:3:3:1 Plan The incoming president’s nominee for secretary of the treasury, Scott Bessent, has announced his ‘3:3:3 plan’. This entails increasing growth to 3%, cutting the budget deficit to 3% of GDP and raising US energy production b