The Trump administration has no imminent plans to replenish the country’s Strategic Petroleum Reserve (SPR), White House Press Secretary Karoline Leavitt told reporters during Thursday’s briefing.
The SPR stands at its lowest level since the 1980s after significant releases under President Joe Biden, and the price of crude oil is hovering between $65 and $70 a barrel after dropping by an average of $10 a barrel earlier this week.
Why It Matters
The decision not to refill the emergency reserve is significant for U.S. consumers and energy security. The SPR’s depleted status limits the government’s ability to intervene during supply shocks or price spikes, potentially leaving American families and industries more exposed to global oil market volatility.
The administration’s focus on domestic production aims to reduce reliance on international supply but raises questions about preparedness for unforeseen crises.
What To Know
Oil prices for crude are hovering between $65 and $70 a barrel after prices dropped by an average of $10 a barrel earlier this week. When asked by reporters if this would prompt the administration to try and refill the strategic reserves, Leavitt said she was not aware of any “imminent plans” to do so.
Instead, she said the administration would continue with its plans to tap into the nation’s natural resources, continuing its slant towards more domestic output as a means of self-sufficiency.
“This president and our Department of Energy have tapped into our resources here,” Leavitt said.
Oil prices have remained largely stable over the past six months at around the mid-to-high $60 a barrel for various crude oils. Some feared that the U.S. strikes in Iran and the war between Iran and Israel might cause prices to jump. Initially, oil rose by about $10 a barrel, but then the price returned to its previous norm.
The price of oil was nearly $20 more per barrel at the same time last year, with Brent Crude priced at $86.24 a barrel, WTI Crude priced at $82.81 a barrel, and Murban Crude at $87.44 a barrel.
The United States’ Strategic Petroleum Reserve reached its lowest inventory since the 1980s in July 2023, with a little under 347.5 million barrels under the Biden administration. Biden replenished some of those losses and left around 393.5 million barrels in the SPR. The Trump administration has added around 3000 barrels to that reserve by March 2025.
The reserve hit its peak in 2011 with around 726.5 million barrels, when the authorized capacity was at 727 million.
The diminished reserve is a direct result of drawdowns initiated by the Biden administration in a bid to soften consumer fuel prices during previous market volatility, according to Reuters.
What People Are Saying
Karoline Leavitt, White House spokeswoman, stated: “There’s no imminent plans to do that from what I understand, but as you have seen with the plummeting of oil prices in this country, it’s because this president and our department of energy have tapped really into our resources here and we have an increase in supply.”
What Happens Next
The Trump administration indicated it would continue relying on expanded domestic energy production to address market demands and has not provided a timeline for when or if the Strategic Petroleum Reserve would be replenished.
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