Trump’s Endeavors, to Reduce Inflation and Control Energy Expenses, Take Off

Donald Trump has signed a memorandum on inflation and multiple orders aimed at lowering energy prices, but his advisers have offered few details on the policies. During a press call, incoming White House advisers pledged that Trump would pursue an “all of government approach” to bringing down costs for American citizens, but they declined to outline concrete steps that the administration would pursue to lower prices.

During Joe Biden’s presidency, the annual consumer price index (CPI) reached a post-pandemic peak of 9.1%, which has since fallen to 2.9% as of last month. Americans are split on whether Trump will be able to tackle the issue, with only 21% of Americans being extremely confident in Trump’s ability to lower the costs of food and groceries this year while another 17% are moderately confident.

Trump declared a “national energy emergency” as he promised to “drill, baby, drill” to expand oil and gas production in the US. He also signed an executive order focused on “unleashing affordable and reliable American energy.” As of Tuesday, the national average cost for a gallon of regular unleaded gasoline stands at $3.125, compared to an all-time high of $5.016 in June 2022 when Russia’s invasion of Ukraine caused a surge in gas prices.

As of Tuesday, the national average cost for a gallon of regular unleaded gasoline stands at $3.125, according to AAA. Asked how much they expected oil prices to fall during Trump’s presidency, his advisers declined to offer a specific target. Energy prices permeate every single part of the economy and are key to restoring national security and exerting American energy dominance around the world.

Trump also issued a broad memorandum directing US agencies to examine trade policies and relationships with nations like China, but the new president plans to stop short of issuing tariffs on day one of his second term. Trump had previously promised to enact sweeping tariffs against not only China but Mexico and Canada, prompting warnings from economists that such a policy could drastically increase prices on everything from automobiles to food supplies.