US Seeks to Shield Iran’s Oil and Gas Amid Escalating Middle East Tensions
The Trump administration’s approach to the ongoing conflict with Iran has shifted notably in recent discussions, particularly regarding an Israeli strike on Iran’s South Pars gas field. This attack has led to Iranian retaliation against natural gas facilities in Qatar, resulting in a significant spike in global energy prices. President Donald Trump expressed a degree of regret over the situation, emphasizing that the United States had no prior knowledge of the attack and asserting that Qatar was not involved.
Trump stated that “NO MORE ATTACKS WILL BE MADE BY ISRAEL pertaining to this extremely important and valuable South Pars Field” unless Iran escalates its actions against Qatar. His reluctance to engage in a retaliatory energy conflict with Iran reflects a strategic consideration: such an escalation would likely increase the global economic burden of the ongoing war.
Energy Flow and Economic Stability
The necessity of maintaining global oil supplies has prompted the administration to take drastic measures. Recently, the U.S. temporarily lifted sanctions that had previously restricted countries like India from purchasing oil from Russia. This move has disrupted the U.S. strategy aimed at pressuring the Kremlin regarding the conflict in Ukraine.
Currently, the U.S. is contemplating the unsanctioning of Iranian oil that is already in transit. Treasury Secretary Scott Bessent indicated that this approach would involve utilizing Iranian oil to stabilize prices in the short term, as the administration continues its military campaign.
While it may seem counterintuitive for the U.S. to facilitate oil exports from a nation it is currently at war with—especially given that China, a U.S. rival, is Iran’s largest oil customer—this strategy highlights the complex role that oil plays in modern warfare. Countries often find themselves in situations where they prefer their adversaries to continue energy sales.
Breakdown of Energy Truce
Historically, one might assume that a nation engaged in conflict with Iran would target its energy exports, which are vital to its economy and military funding. However, in practice, concerns about economic stability and public opinion often take precedence over military objectives.
The ongoing conflict in the Middle East, coupled with Iran’s effective blockade of the Strait of Hormuz, has already disrupted global energy markets. Although there have been previous strikes against oil facilities, there has been an unspoken understanding to avoid significant attacks on energy infrastructure in both Iran and the Gulf.
Rosemary Kelanic, an analyst at Defense Priorities, noted that warfare typically involves various stages of escalation, with certain targets initially deemed off-limits. Until recently, a balance had been maintained, with neither side targeting critical energy sites.
However, recent Iranian attacks on Qatar have resulted in a loss of 17 percent of the emirate’s natural gas production capacity, leading to an estimated $20 billion in lost revenue and disruptions to supplies in Europe and Asia. The complexity of natural gas extraction means that the costs associated with such attacks are likely higher than those involving oil facilities. Iran has also launched an attack on an oil refinery in Kuwait.
If this truce has indeed collapsed, it poses significant political challenges for the U.S. administration, which is already grappling with the implications of rising oil and gas prices.
Historical Context of Energy Warfare
The Trump administration’s desire to keep oil off-limits in this conflict mirrors the Biden administration’s approach to the war in Ukraine. Reports indicate that the White House had advised Ukraine against long-range strikes on Russian energy infrastructure, fearing that such actions could escalate global energy prices and provoke retaliation from Russia.
When the conflict began, the U.S. considered sanctions aimed at disrupting Russia’s oil exports but ultimately refrained after projections indicated that this could push oil prices above $200 per barrel. Instead, U.S. and European officials devised a “price cap” strategy to compel Russia to sell its oil at a discount, thereby limiting Kremlin profits while maintaining stable energy markets.
In an extreme example of maintaining energy flows, Ukraine continued to repair and maintain the pipelines used for exporting Russian oil and gas to Europe during the conflict. The rationale was that severing these supplies could alienate European allies, jeopardizing Ukraine’s economic and military support.
The Future of Iran’s Oil Industry
Trump’s reluctance to destroy Iran’s oil industry may stem from a desire to control it instead. He has long expressed interest in seizing Iranian oil fields, a notion he has entertained since the 1980s. While he has indicated that it is premature to discuss taking over Iran’s oil industry, he has not dismissed the idea. He has also linked this potential operation to recent U.S. interventions in Venezuela, where a more compliant leadership is open to U.S. involvement in its oil sector.
This desire to preserve Iran’s oil industry, whether for future management or to avoid exacerbating global prices, could create tension between Trump and Israeli Prime Minister Benjamin Netanyahu. Reports suggest that Netanyahu aims to dismantle Iran’s economy and energy infrastructure, while Trump appears more inclined to maintain its integrity.
As the conflict evolves, it seems increasingly challenging for the Trump administration to engage in a war that avoids targeting energy assets on both sides of the Gulf.
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Published on 2026-03-21 00:30:00 • By Editorial Desk
