U.S. Strategic Petroleum Reserve Hits 40-Year Low

The U.S. Department of Energy has drawn the Strategic Petroleum Reserve (SPR) down to 349.2 million barrels as of June 12, 2026, nearing a 40-year low. Since strikes on Iran began on February 28, the agency has released 66.2 million barrels to mitigate gasoline price increases and offset global supply disruptions caused by Iran blocking oil and natural gas passage through the Strait of Hormuz.

President Donald Trump is utilizing these emergency releases to stabilize fuel prices, a strategy similar to the actions taken by former President Joe Biden during the Russia-Ukraine war. To replenish the reserve, the current administration is exchanging released barrels for lower-cost oil to be delivered next year, a move the Department of Energy claims could save taxpayers $3 billion.

Despite these efforts, diesel-type fuel inventories are reaching critically low levels, threatening freight and agricultural transport. Analysts warn that if the Strait of Hormuz remains closed through mid-to-late summer, national gasoline prices could exceed $5 per gallon or reach new record highs.