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President Donald Trump said Monday that ExxonMobil and Chevron made “too much money” on rising crude oil prices due to the Iran war.
“They’re making too much money based on a shortage,” Trump told reporters at the White House. “I don’t like it.”
Exxon and Chevron on Friday reported windfall profits for the second quarter. Chevron’s earnings soared nearly 400% to $12 billion compared with $2.5 billion in the same period last year. Exxon’s profits more than doubled to $14.5 billion compared with $7.1 billion in the year-ago period.
“Chevron, too much money. ExxonMobil, too much money,” Trump said. “They’re going to give some of that back to the public and they better cut the retail price, the consumer price.”
CNBC has reached out to Exxon and Chevron for comment.
U.S. crude oil prices have gained about 20% since the U.S. and Israel attacked Iran on Feb. 28. Tehran has retaliated by trying to choke oil exports through the Strait of Hormuz, triggering the largest supply disruption in history.
U.S. oil futures had an average closing price of around $92 per barrel from April through June, about 27% higher than the first quarter.
Gasoline prices, meanwhile, averaged about $4.10 per gallon nationwide on Monday, nearly 40% higher compared with the $2.98 per gallon that drivers paid on Feb. 27 before the war started, according to data from AAA.
Chevron’s shares were down nearly 2% while Exxon traded slightly lower after Trump’s comments. The oil majors’ stocks were already under pressure Monday as crude prices fell about 5% on hopes that U.S.-Iran talks might prevent further escalation.
