Will Biden's oil reserves plan actually save you cash at the pump?


It's already been said that President Biden's decision to tap the Strategic Petroleum Reserve (moving in tandem with China, India, Japan, the Republic of Korea, and the U.K.) may not do much by way of lowering gas prices. But why exactly is that? And if there is an impact, when can consumers expect to see it?
It "could still take weeks" for the barrels involved in Tuesday's annoucement to hit the market — "mid to late December, depending on market take up," said a senior administration official, per CNN — which means there's "little hope for immediate relief," Bloomberg writes.
Another issue — the possibility of tapping into reserves has been on the table for so long that many traders say it's already been "baked into oil prices," Bloomberg notes, offering up an explanation for why oil prices rose following Biden's announcement. There's also the issue of angry OPEC officials, who could respond to the news by "canceling plans to boost their own production, negating the addition of stockpiled oil onto the market."
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.

Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
Furthermore, it's unclear at this time what kind of crude will be released. If it's "not the kind of crude refiners are looking for, it could end up being stored in oil tanks or exported, meaning it won't probably have the broader, immediate effect of reducing oil prices at home," explains Bloomberg.
Though the president and his team were aware of the move's potentially-limited scope, they thought it the best of their limited options, especially when handled in parallel with other countries, CNN reports. That said, climate activists are worried Biden's "push to lower energy prices is undercutting his lofty goals on climate," per The Washington Post (though the president briefly addressed this concern in his Tuesday remarks).
Said Jean Su of the Center for Biological Diversity: "There is a huge contradiction right now in their actions."
Sign up for Today's Best Articles in your inbox
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
Brigid Kennedy worked at The Week from 2021 to 2023 as a staff writer, junior editor and then story editor, with an interest in U.S. politics, the economy and the music industry.
-
How the woke right gained power in the US
Under the radar The term has grown in prominence since Donald Trump returned to the White House
By Chas Newkey-Burden, The Week UK
-
Codeword: April 24, 2025
The Week's daily codeword puzzle
By The Week Staff
-
Crossword: April 24, 2025
The Week's daily crossword
By The Week Staff
-
Musk vows DOGE pullback as Tesla profits plunge
Speed Read The Tesla SEO says he will soon step back from government matters to devote more time to the company
By Peter Weber, The Week US
-
IMF sees slump from tariffs, Trump tries to calm markets
Speed Read The International Monetary Fund predicts the U.S. and global economies will slow significantly due to the president's trade war
By Peter Weber, The Week US
-
DHS chief Kristi Noem's purse stolen from eatery
Speed Read Homeland Security Secretary Kristi Noem's purse was stolen while she dined with family at a restaurant in Washington, D.C.
By Peter Weber, The Week US
-
Trump stands by Hegseth amid ouster reports
Speed Read The president dismissed reports that he was on the verge of firing Defense Secretary Pete Hegseth over a second national security breach
By Rafi Schwartz, The Week US
-
Hegseth reportedly shared war plans in 2nd group text
Speed Read The defense secretary sent information about an attack in Yemen to a Signal group chat that included his wife and brother
By Peter Weber, The Week US
-
Judge threatens Trump team with criminal contempt
Speed Read James Boasberg attempts to hold the White House accountable for disregarding court orders over El Salvador deportation flights
By Rafi Schwartz, The Week US
-
Biden slams Trump's Social Security cuts
Speed Read In his first major public address since leaving office, Biden criticized the Trump administration's 'damage' and 'destruction'
By Peter Weber, The Week US
-
El Salvador refuses to return US deportee
Speed Read President Nayib Bukele of El Salvador said he would not send back the unlawfully deported Kilmar Ábrego García
By Peter Weber, The Week US