Gavin Newsom Explains The Real Reason Trump Boasted That High Oil Prices Mean 'We Make A Lot Of Money'

California Governor Gavin Newsom explained the real reason why President Donald Trump is celebrating the rise in oil prices after bragging openly about them in a post on Truth Social.

On February 27, the day before launching the war against Iran, Trump appeared in Corpus Christi and touted falling gas prices, which have a direct correlation with the price of oil on the global market. At that event, he claimed that “right here” gas prices had dropped below $2.30 a gallon.

Now he's singing a different tune altogether. In a Truth Social post, Trump argued that rising oil prices—which have climbed sharply amid the war— would benefit the U.S., saying that when prices go up, “we make a lot of money” because of the country’s energy dominance.

He wrote:

"The United States is the largest Oil Producer in the World, by far, so when oil prices go up, we make a lot of money. BUT, of far greater interest and importance to me, as President, is stoping [sic] an evil Empire, Iran, from having Nuclear Weapons, and destroying the Middle East, and indeed, the World."

"I won't ever let that happen! Thank you for your attention to this matter."

You can see Trump's post below.

@realDonaldTrump/Truth Social

The national average price of gasoline stood at $2.94 per gallon the day after the Iran attack, according to GasBuddy. By Thursday, thanks to the volatility and supply disruption of crude oil due to Trump's war, it had climbed to $3.61, a 23% increase.

Gas prices had long been a key line of attack for Trump against former President Joe Biden. During Biden’s presidency, the cost of a gallon of regular gasoline briefly reached $5 before falling to about $3.09 by the time he left office.

The White House later issued a news release arguing that lower gas prices were delivering tangible savings, saying motorists were on track to spend $11 billion less on fuel in 2026 than the year before. According to the release, the average household would save hundreds of dollars annually.

Trump frequently highlighted specific locations where he claimed gasoline had dropped below $2 a gallon. Fact-checkers found those claims often exaggerated, though prices nationwide had indeed declined by more than 6% from the start of his new term until the outbreak of the war.

And Newsom, in a post via his official press office account, pointed out that Trump was ultimately telling on himself:

"Trump accidentally admits why he’s prolonging his Iran war: He’s thrilled to help corporations like Chevron and Exxon “make a lot of money” off of everyday Americans."

You can see Newsom's post below.

Others also criticized Trump's remarks.

Oil markets have swung sharply in recent days as traders assess the risk of further military escalation involving Iran and the potential for disruptions to global shipping routes. Analysts say prolonged instability could drive prices higher in the near term. By Friday afternoon, Brent crude was trading slightly above $95 per barrel.

Part of the price surge stems from growing concerns about tanker traffic through the Strait of Hormuz, a narrow passage at the entrance to the Persian Gulf that carries roughly 20% of the world’s oil supply. While the strait falls under international maritime law, Iran maintains substantial influence over the corridor.

The waterway has never been completely shut down, though tanker traffic was disrupted during the Iran–Iraq War in the 1980s. Recently, Iran has struck several vessels in the area and warned ships against entering the passage, effectively halting traffic through one of the world’s most critical energy routes.