Trump Defends Economy as High Fuel Prices Put Pressure on Consumers

President Donald Trump is defending his economic record as Americans continue to face elevated prices for gasoline, diesel and other goods.

With the midterm elections approaching, Trump has been campaigning for Republican candidates and arguing that his economic policies are producing new investment and economic growth.

“Our country is booming with new investment more than anybody else ever,” Trump said during a campaign appearance in North Carolina.

At the same time, higher energy costs are adding to pressure on consumers. The national average price for regular gasoline reached $4.44 per gallon Thursday, according to AAA, while diesel prices have also reached record levels.

Some consumers say they are cutting back because of higher costs.

“We’re not going anywhere, we don’t go to theaters, we’re not, movies, everything’s been cut back a lot,” Wisconsin resident Donald Reinke said.

Truck driver Dorothy McKenzie said rising fuel prices are also affecting her personally.

“These prices are affecting us emotionally physically and mentally,” McKenzie said.

Democrats are using the higher costs to criticize the administration's economic policies.

House Democratic Leader Hakeem Jeffries of New York said Americans are struggling with everyday expenses and accused Republicans of failing to address affordability.

The White House and Republican leaders have pointed to the war with Iran as a major factor behind the recent increase in energy prices.

A September analysis from the nonpartisan Congressional Budget Office found that disruptions to oil and natural gas shipments through the Strait of Hormuz have increased global energy prices. CBO estimates those higher energy costs will push U.S. inflation 0.5 percentage points higher than previously projected in the first quarter of 2027.

CBO also estimated that the conflict had cost the Defense Department approximately $38 billion through Aug. 1, including costs associated with replacing equipment and munitions, increased flying hours and higher fuel costs.

Separate analysis from Moody’s Analytics has estimated that higher energy and other costs associated with the conflict have added roughly $1,760 in costs for the average U.S. household. That figure is an estimate of economic effects, rather than a direct government charge to households.

Trump has argued that the higher costs are justified by the administration's effort to prevent Iran from developing a nuclear weapon.

“It’s a very inexpensive price to pay for what we’ve done,” Trump said Wednesday.

House Speaker Mike Johnson, a Louisiana Republican, acknowledged that gas prices are high while pointing to the Strait of Hormuz as a key factor.

“Of course, gas prices are too high,” Johnson said. “When we get that thing resolved in the Strait of Hormuz, that will have a direct effect on that.”

The timing of the price increases comes as both parties prepare for the November midterm elections. Trump said Wednesday that the conflict could end before or after the elections, without specifying when it would conclude.

The conflict began in February and is now in its seventh month. CBO says ongoing disruptions to energy markets are expected to continue affecting inflation into 2027.

Explore: NBCPalmSprings.com, where we are connecting the Valley.