Trump's investigation into gasoline prices and the complexities of the oil market

WASHINGTON — President Donald Trump has directed the U.S. Department of Justice to investigate major oil companies over allegations that gasoline prices have not fallen as quickly as crude oil prices.

Trump announced the move on June 24, arguing that consumers were paying more at the pump than they should be given the decline in crude oil prices. He specifically mentioned companies including ExxonMobil, Chevron, Shell and BP while raising concerns about possible price gouging.

The administration’s action expanded in July. The Justice Department’s Antitrust Division and the Federal Trade Commission urged state attorneys general to investigate potential antitrust and consumer-protection violations in petroleum markets, including possible manipulation of retail prices or coordination among competitors.

The issue comes as U.S. gasoline prices have remained elevated amid disruptions in global energy markets. Trump has repeatedly called on oil companies and gasoline retailers to lower prices, arguing that American consumers should benefit more quickly when energy costs decline.

However, the investigation does not establish that oil companies have engaged in illegal price gouging. The purpose of the probe is to determine whether companies violated antitrust or consumer-protection laws.

By late August, Trump was still publicly pressing oil executives over gasoline prices and had planned a White House meeting with industry leaders as his administration sought measures to increase refining capacity and ease pressure on consumers.

The investigation could put further pressure on the U.S. oil industry as the administration seeks to bring gasoline prices down for American drivers.