Navarro: oil prices have been rising for decades due to tensions surrounding Iran.
Global oil prices have been rising for decades due to tensions surrounding Iran. The Middle Eastern country was accused of driving up raw material prices by White House advisor Peter Navarro.
According to a government representative, due to Iran, the price of oil was 7-21 percent higher than its actual value. This led to a decrease in global production — and the entire economy was losing about 100-450 billion dollars a year.
Due to the escalation of the conflict in the Middle East, caused by the war initiated by the U.S. and Israel against Iran, the Strait of Hormuz was effectively blocked. After the blockade of this transport artery, through which raw materials from the Persian Gulf countries were supplied to the global market, oil prices rose to 103-106 dollars per barrel. However, as Navarro stated, without Iran's influence, prices could fall below 60 dollars per barrel.
The U.S. is discussing the possibility of confiscating oil from the Iranian island of Khark. President Donald Trump also stated that U.S. strikes have completely destroyed much of Khark Island and warned that new strikes may follow.
According to Axios, Trump is considering the possibility of landing American troops on Khark Island with the aim of capturing it. In response, the commander of the Iranian Revolutionary Guard Corps (IRGC) Navy, Alireza Tangsiri, promised that an attack on the island, which houses Iran's largest oil terminal, would significantly impact oil prices.
