Trump to Gas Retailers: Cut Prices to $2.50 or Face 'Big Problems'

President Donald Trump on Monday demanded that gasoline retailers immediately lower prices to around $2.50 per gallon, accusing them of overcharging American consumers. In a post on his social media platform Truth Social, Trump wrote that retailers must stop "gauging"—a likely misspelling of "gouging," or overcharging customers—warning that "big problems lie ahead" if they do not comply. "Start targeting around the $2.50 a gallon number," Trump wrote. He also criticized California for its high gasoline taxes, which are set to rise from 61.4 cents per gallon to 63.4 cents per gallon on July 1. As of Monday, the average price for a gallon of regular gas in the United States was $3.86, according to the American Automobile Association (AAA). California and Hawaii have the highest prices, at $5.45 and $5.49 per gallon, respectively. Trump’s latest comments come about a week after he slammed major oil companies for not lowering pump prices despite falling crude oil costs. He said then that he had instructed the Justice Department to investigate oil companies. Chevron’s finance chief, Eimear Bonner, told CNBC on Thursday that energy providers are working to bring prices down, but noted that reductions take time. "There is a lag between oil prices and reductions in oil prices, and when that shows up at the pump," Bonner said, adding that prices should fall "as things continue to normalize." Gas prices spiked after the US-Iran war began in February, pushing the national average well above $4 per gallon, per AAA. Prices have eased slightly following peace talks and a ceasefire announced by Trump last week.