Iran war has already cost households in Iowa $516 in higher gas prices
Gasoline prices have soared nationally since President Donald Trump began US military attacks on Iran in February.
The average household in Iowa has already paid an extra $516 on gasoline since President Donald Trump began U.S. military attacks against Iran on Feb. 28, according to a new analysis by the minority staff of Congress’ Joint Economic Committee. Nationally, gasoline prices are about 30% higher than before the war began.
Trump promised repeatedly during his 2024 presidential campaign that he would stop inflation and lower prices for consumers. In a September 2024 address at the Economic Club of New York, he said: “My plan will cut energy prices in half or more than that within 12 months of taking office. … Energy is going to bring us back. That means we’re going down and getting gasoline below $2 a gallon, bring down the price of everything from electricity rates to groceries, airfares, and housing costs.”
A June report by the Joint Economic Committee minority staff found that the average Iowa household had had to spend $2,600 more for goods and services under Trump as of May 2026, due to higher healthcare, grocery, energy, and housing costs fueled by the war, Trump’s tariffs on imported goods, and cuts to federal health insurance programs.
After the United States and Israel began military action against Iran, Iran responded by blocking ships from traveling through the Strait of Hormuz, a passageway on a route used to ship oil and other exported goods from the Middle East. This left the United States with reduced supply and increased the price of fuel for American consumers. Trump repeatedly has claimed that the strait is open, but Iran has continued to attack commercial ships attempting to move through it.
A June ceasefire agreement brought a brief dip in gasoline prices, but they rose again after the deal collapsed in July.
A White House spokesperson said in an email: “President Trump was clear all along that there would be short-term, temporary disruptions to energy markets, and that oil and gas prices will quickly fall as soon as the Iran situation is resolved. President Trump has a proven track record of bringing gas prices to historic lows, and the Administration continues to take aggressive action to deliver economic relief for the American people.”
Back in March, Trump posted on Truth Social: “Short term oil prices, which will drop rapidly when the destruction of the Iran nuclear threat is over, is a very small price to pay for U.S.A., and World, Safety and Peace. ONLY FOOLS WOULD THINK DIFFERENTLY!”
On July 15, the Wall Street Journal reported that it had surveyed 72 economic forecasters before the ceasefire fell through and that their consensus was the Iran war would contribute to a 3.4% annual inflation rate through December.
Kevin Hassett, the Trump-appointed director of the National Economic Council, was asked during a Fox News appearance on July 14 whether the administration’s target of $3-a-gallon gasoline was still realistic. Hassett replied: “It’s absolutely realistic, and we were headed pretty much there, on a straight line, but now there’s a hiccup again because of the Iranians — who again, like, it’s so obvious that this was the right policy, that the Iranians were dead set on destroying America. ‘Death to America’ was one of the things they were saying every time they had a rally. … In the long run, the world will be safer, gas prices will be lower, and it’ll be worth the short-run cost.”
