Amid the conflict involving Iran, the US strategic oil reserve has fallen to its lowest level in more than 40 years. As of June, the United States held 340.3 million barrels of oil in reserve—according to the Department of Energy in Washington—the lowest amount since July 1983. A barrel is equivalent to approximately 159 liters.
Against the backdrop of the oil price shock linked to the conflict involving Iran, the US, Germany, and other member countries of the International Energy Agency (IEA) decided in March to release emergency reserves on an unprecedented scale. However, US President Donald Trump downplayed the magnitude of the move. US oil stocks would be “reduced a little, and that will bring prices down,” he said.
Trump has been under domestic political pressure for months due to the massive surge in fuel prices associated with the conflict involving Iran. His approval ratings have dropped significantly ahead of the crucial midterm congressional elections in November.
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On Sunday, Trump announced a framework agreement with Iran intended to end the war he had ordered and the oil crisis. However, many details remain unclear. The IEA and other organizations had previously warned of a potential fuel shortage this summer.
The US established its strategic reserve following the oil crisis of the 1970s. It has a capacity of 714 million barrels. Yet, shortly after US-Israeli airstrikes on Iran began in late February, the United States held stocks of only around 415 million barrels of oil.
Trump had repeatedly accused his predecessor, Democrat Joe Biden, of tapping into the reserve for political reasons and thereby weakening the U.S. in the event of war. Following Russia’s full-scale invasion of Ukraine in February 2022, Biden utilized approximately 40 percent of the reserve to lower fuel prices in the U.S. During his election campaign against Biden, Trump pledged to replenish the reserve “immediately.” However, since taking office in January 2025, this has occurred only partially.
Author: AFP
Sources: AFP Press Portal