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The White House is clearly panicking that Iran is stalling global trade through the Strait of Hormuz, but Reuters reports that the U.S. Navy cannot make good on the White House’s offer to escort shipping vessels.
Last week, President Trump promised that the U.S. Navy would escort ships through the Strait of Hormuz “if necessary” and offer insurance to any vessel that was harmed in the process. That is easy to say on social media, but not easy to do in real life.
“The U.S. Navy has held regular briefings with shipping and oil industry counterparts and has said during those briefings it is unable to provide escorts for the time being, three shipping industry sources familiar with the matter said,” according to Reuters.
MAGA influencers are suggesting that shipping tankers are being too wimpy. I volunteer them to captain the first ship that tries it.
To help make up for this oil gap, President Trump announced a new oil refinery to be opened in Texas. This can’t really be credited to the Trump administration though. It was announced in 2024 before he took office.
Will one domestic oil refinery make up for lost global trade? You probably can work that math out for yourself.