US Treasury Secretary Scott Bessent said Wednesday he expects gasoline prices to fall toward $3 per gallon during the summer driving season.
Bessent shared the remarks during a press briefing at the White House.
"I'm optimistic that sometime between June 20 and Sep. 20, that we can have $3 gas again," Bessent said.
US gasoline prices are currently averaging about $4.108 per gallon, up sharply from below $3/gal earlier this year before the Iran conflict began, according to a Bloomberg report.
Bessent added that the outlook for lower prices depends on progress in negotiations to end the war in the Middle East.
Discussions with Middle Eastern counterparts suggest supply could quickly recover, Bessent said, noting that production is expected to resume within a week once the Strait of Hormuz reopens.
He said oil producers indicated output could resume within a week once the Strait of Hormuz reopens to normal shipping flows.
Bessent also warned that authorities are closely monitoring fuel retailers to ensure price declines are passed on to consumers. "We are going to be watching the gas stations, because they raise prices very quickly," Bessent said.
He added that gas stations raised prices rapidly when crude surged and should reduce them just as quickly as oil prices have recently eased.
The US is urging Gulf countries to help freeze assets linked to Iran's leadership, including the Islamic Revolutionary Guard Corps, as part of broader financial pressure efforts, Bessent said.