May 12: US-Iran War's Impact on International Economy, Financial Markets, and Livelihoods
The US-Iran war has caused widespread impacts on the international economy and daily lives, with the de facto blockade of the Strait of Hormuz leading to OPEC's crude oil production falling to a 20-year low. In response to soaring oil prices, President Trump is considering temporarily suspending federal fuel taxes to alleviate consumer burden.
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- 📰 Published: May 12, 2026 at 17:30
- 🔍 Collected: May 12, 2026 at 18:02 (31 min after Published)
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US-Iran War Key News
Central News Agency
(Central News Agency, Taipei, May 12, comprehensive foreign report) The de facto blockade of the Strait of Hormuz has caused the Organization of the Petroleum Exporting Countries (OPEC) April crude oil production to drop to a 20-year low. US President Trump plans to suspend federal fuel taxes until the situation stabilizes, to alleviate the impact of soaring oil prices on consumers due to the US-Iran war.
US-Iran War Sends Oil Prices Soaring; Trump Plans to Suspend Federal Fuel Tax to Ease Impact
The US federal gasoline tax is 18.4 cents per gallon (about NT$5.81), and the diesel tax is 24.4 cents per gallon (about NT$7.71). Since the outbreak of the US-Iran war, US fuel prices have soared, with both gasoline and diesel rising by about 50% since late February. President Trump plans to suspend federal fuel taxes until the situation stabilizes.
According to data from the American Automobile Association (AAA), the average US oil price on May 11 was US$4.52 per gallon (about NT$143), and diesel was US$5.64 per gallon (about NT$178). After suspending the federal fuel tax, oil prices are expected to drop by 4%.
Strait of Hormuz Blockade Severely Impacts Exports; OPEC April Production Hits 20-Year Low
OPEC's 12 member countries' April crude oil production decreased by 830,000 barrels per day compared to the previous month, falling to 20.04 million barrels per day. The March figure was revised downwards by 700,000 barrels per day compared to the previous month due to Saudi Arabia's adjustment of its estimation method.
According to a Reuters survey, if changes in member countries are excluded, OPEC's April production was the lowest since 2000, and significantly lower than the minimum production during the demand collapse of the 2020 COVID-19 pandemic. The United Arab Emirates withdrew from OPEC on May 1.
US-Iran War Causes Natural Rubber Prices to Soar; May Be Passed on to Tire Retail Prices
Veerasith Sinchareonkul, CEO of Sri Trang Agro-Industry, Thailand's largest rubber producer, pointed out that soaring oil prices have led to an increase in synthetic rubber prices, affecting demand. Since synthetic rubber used in products such as tires and gloves can be partially replaced by natural rubber, its price has also surged.
Chaiwat Sowcharoensuk, a rubber industry analyst at Bank of Ayudhya in Thailand, believes that the trend of increased demand for natural rubber triggered by the US-Iran war is likely to continue. Industry insiders point out that this may lead to a corresponding increase in tire retail prices. (Editor: Ho Hung-ju) 1150512
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Central News Agency
(Central News Agency, Taipei, May 12, comprehensive foreign report) The de facto blockade of the Strait of Hormuz has caused the Organization of the Petroleum Exporting Countries (OPEC) April crude oil production to drop to a 20-year low. US President Trump plans to suspend federal fuel taxes until the situation stabilizes, to alleviate the impact of soaring oil prices on consumers due to the US-Iran war.
US-Iran War Sends Oil Prices Soaring; Trump Plans to Suspend Federal Fuel Tax to Ease Impact
The US federal gasoline tax is 18.4 cents per gallon (about NT$5.81), and the diesel tax is 24.4 cents per gallon (about NT$7.71). Since the outbreak of the US-Iran war, US fuel prices have soared, with both gasoline and diesel rising by about 50% since late February. President Trump plans to suspend federal fuel taxes until the situation stabilizes.
According to data from the American Automobile Association (AAA), the average US oil price on May 11 was US$4.52 per gallon (about NT$143), and diesel was US$5.64 per gallon (about NT$178). After suspending the federal fuel tax, oil prices are expected to drop by 4%.
Strait of Hormuz Blockade Severely Impacts Exports; OPEC April Production Hits 20-Year Low
OPEC's 12 member countries' April crude oil production decreased by 830,000 barrels per day compared to the previous month, falling to 20.04 million barrels per day. The March figure was revised downwards by 700,000 barrels per day compared to the previous month due to Saudi Arabia's adjustment of its estimation method.
According to a Reuters survey, if changes in member countries are excluded, OPEC's April production was the lowest since 2000, and significantly lower than the minimum production during the demand collapse of the 2020 COVID-19 pandemic. The United Arab Emirates withdrew from OPEC on May 1.
US-Iran War Causes Natural Rubber Prices to Soar; May Be Passed on to Tire Retail Prices
Veerasith Sinchareonkul, CEO of Sri Trang Agro-Industry, Thailand's largest rubber producer, pointed out that soaring oil prices have led to an increase in synthetic rubber prices, affecting demand. Since synthetic rubber used in products such as tires and gloves can be partially replaced by natural rubber, its price has also surged.
Chaiwat Sowcharoensuk, a rubber industry analyst at Bank of Ayudhya in Thailand, believes that the trend of increased demand for natural rubber triggered by the US-Iran war is likely to continue. Industry insiders point out that this may lead to a corresponding increase in tire retail prices. (Editor: Ho Hung-ju) 1150512
Choose to stand with facts, every sponsorship you provide is a force for protecting press freedom.
Download the Central News Agency "First-Hand News" APP to stay updated with the latest news.
The text, images, and audio/video on this website may not be reproduced, publicly broadcast, or publicly transmitted and used without authorization.