Oil tankers begin passing through Strait of Hormuz, White House says

WASHINGTON: Oil tankers have started moving through the Strait of Hormuz, the White House said on Tuesday, adding that Iran’s attempts to choke traffic through the vital shipping route have not hurt the United States economy.

White House economic adviser Kevin Hassett, speaking to CNBC, said some oil tankers were “starting to dribble through” the strait, signalling that Iran may have limited ability to disrupt shipping.

“We’re very optimistic that this is going to be over in the short run,” Hassett said, referring to the ongoing conflict involving Iran. He added that oil prices could see temporary fluctuations for a few weeks after the conflict ends as shipments reach refineries.

Hassett also expressed concern that countries in Asia might reduce exports of refined oil to the United States to secure their own energy needs amid uncertainty in Middle Eastern supply.

“We’re seeing some signs they might be pulling that back to make sure they have enough energy for themselves, and we’ve got a plan for that,” he said.

Separately, U.S. President Donald Trump postponed a scheduled meeting with Xi Jinping, president of China, to focus on the conflict involving Iran.

Hassett said stabilising global oil markets was in the interest of both the United States and China, adding that the two leaders could meet once the conflict subsides.