US forces struck three Iranian crude oil tankers after the Islamic Revolutionary Guard Corps (IRGC) launched ballistic missiles at two US Navy warships in regional waters, escalating tensions around one of the world's most critical oil-shipping routes. US Central Command (CENTCOM) said an aircraft carrier and a guided-missile destroyer successfully evaded multiple Iranian attacks, with no American personnel injured. In retaliation, US forces disabled two Iranian oil carriers and destroyed a third, according to CENTCOM. There was no immediate confirmation from Iranian authorities, and the US Central Command did not immediately respond to requests for comment. The reported strike comes days after US President Donald Trump said Kharg Island was being "blown to smithereens" in a social media post accompanied by an AI-generated video. Iranian authorities have previously warned of a strong response if the strategic oil hub comes under attack, as reported by NDTV Profit.
Oil prices are heading for their biggest weekly gain since July, with Brent crude trading around $96 a barrel and up more than 7% for the week, while West Texas Intermediate is near $92, according to NDTV Profit. Both benchmarks hit six-week highs earlier in the week as fresh US strikes on Iran and retaliatory attacks by Tehran raised the risk premium in energy markets. The latest escalation adds another layer of risk to global energy markets, with the confrontation centred on the Strait of Hormuz, a crucial corridor for international oil shipments. Both benchmarks have risen more than 10% this week following the renewed strikes, as reported by The Wall Street Journal. Oil prices have already climbed nearly 60% this year, while prices of refined fuels such as diesel have risen even faster amid disruptions linked to the conflicts in West Asia and Ukraine.
Kharg Island is central to Iran's oil-export infrastructure, with Iran, the third-largest crude producer in the Organisation of the Petroleum Exporting Countries, routing about 90% of its crude exports through the island before the war, according to NDTV Profit. Oil flows have since been disrupted by a US naval blockade imposed in mid-April, with the United States imposing the blockade after Iran effectively closed the Strait of Hormuz, a vital global energy corridor that carried about one-fifth of the world's oil supply before the conflict. The reported attack could add fresh pressure on Iran's already strained oil industry and economy, while raising concerns over global crude supplies and energy-market volatility, as reported by NDTV Profit. The United States imposed the blockade after Iran effectively closed the Strait of Hormuz, a vital global energy corridor that carried about one-fifth of the world's oil supply before the conflict.
Addressing reporters in the Oval Office, Trump said Iran was trying to build a rocket that drops mines and the US had destroyed it, as reported by The Hindu BusinessLine. Stating that Iran had been working to restore its radar and missile systems, he said the US strikes targeted them also. In a post on Truth Social, Trump said: "Now that we have it under U.S.A. control, should we change the name Hormuz Strait to TRUMP STRAIT??? Like America itself, it would be "hotter" than ever before!" US Central Command said in a post on X that the US Navy continues to strictly enforce the US blockade against Iran. As of September 2, US forces have redirected 86 commercial vessels, disabled three and boarded two to ensure compliance, it said. CENTCOM said the targeted vessels were part of what it described as a multibillion-dollar shadow network allegedly used to finance the IRGC and its regional proxies.
The oil surge has directly impacted American consumers, with the national average gasoline price reaching $4.08 per gallon on Monday (approximately NT$130), up nearly 30% from a year earlier, according to BigGo Finance. More notably, gasoline prices remained above $4 for the entire month of August—an unprecedented record—surpassing even the previous high of $3.97 set in August 2022 during the pandemic. AAA data shows gasoline prices are one of the most direct indicators of inflationary pressure felt by American consumers. White House spokesperson Taylor Rogers announced that Trump would meet with representatives of US refiners and fuel distributors on Tuesday (September 1) to seek concrete measures for expanding domestic refining capacity and lowering gasoline prices. Trump's overall approval rating has fallen to 33%, the lowest of his second term, with a Reuters/Ipsos poll showing that nearly half of Americans rank the cost of living as their top voting issue, with 71% of respondents expressing dissatisfaction with Trump's handling of the issue.
