The Trump administration has opened the possibility of suspending the federal gas tax, according to Axios.
This development comes amid ongoing efforts to ease tensions in the Strait of Hormuz and reduce pressure on global energy markets.
Energy prices reacted swiftly to the news, with Brent crude showing a notable shift in the session.
The potential suspension of the gas tax could have for consumer spending and transportation costs, which in turn may affect demand for oil and related commodities.
The administration's decision aligns with a broader strategy to de-escalate regional tensions and stabilize global shipping routes.
Recent actions, including the suspension of a naval operation in the Strait of Hormuz, have already contributed to a more measured market environment.