What we know on Day 32 of the US and Israel’s war with Iran: Gas prices skyrocket as Trump threatens energy sites

By Jessie Yeung, Issy Ronald, CNN

(CNN) — Gas prices in the United States soared past $4 per gallon for the first time since 2022, as energy infrastructure is increasingly targeted and threatened by all major parties in the war.

Overnight, a Kuwaiti oil tanker was struck by what Kuwaitis said was an Iranian drone attack. That came after US President Donald Trump threatened to “obliterate” Iran’s energy facilities if Washington and Tehran don’t reach a deal soon.

At the same time, Trump and his administration claim talks with Tehran are still ongoing but they have offered little detail on who they are communicating with, while Iran sends contradictory messages.

Here’s what to know on Day 32.

What are the main headlines?

• Energy costs: Average gas prices in the US hit $4 per gallon on Tuesday, according to AAA, marking their highest level since 2022. Gas prices have skyrocketed since the US and Israel first struck Iran last month, and Iran retailiated by effectively closing the Strait of Hormuz, choking off a large portion of the world’s oil supply from energy markets. Oil prices were broadly flat Tuesday, reflecting the mixed messaging on the directon of the war. WTI Crude, the US benchmark, settled above $100 per barrel on Monday for the first time since July 2022.
• Tanker struck: A fully loaded Kuwaiti tanker in Dubai waters was hit overnight by what Kuwaits said was an Iranian drone attack. Earlier, Trump had threatened to “obliterate” Iran’s electric plants and oil wells if it does not agree to a deal to end the war. That could constitute a war crime, experts warn. But when asked about this threat, the White House press secretary said the US military will always follow the law.
• Washington comments: Even as Trump issued such threats, the White House press secretary said US talks with Iran were “going well,” and that Iranian officials now at the negotiating table appear more reasonable than the regime’s previous leader. She added that US troops are being sent to the Middle East to give Trump “maximum optionality” while officials pursue a diplomatic solution.
• Iran’s response: In a stark contrast in tone, an Iranian official earlier lambasted the US’ list of demands as “largely excessive, unrealistic, and unreasonable.” He also denied that any “direct negotiations” with the US have taken place.
• Desalination plant struck: A crucial desalination plant on Iran’s Qeshm Island, which helps provide drinking water for the island, is out of service following an airstrike, Iranian media said Tuesday. About 100 million people in the Persian Gulf region rely on desalination plants for drinking water so any targeting of them would present a major humanitarian risk.

What’s happening on the ground?

• Deadly strikes: Iran endured heavy bombardment overnight. One strike in Mahallat, just south of Tehran, killed eleven people, including three children, semi-official news agency Mehr News reported. Three people were also killed in a strike that damaged a mosque in the northern city of Zanjan. Explosions were reported in Tehran and Esfahan too. Parents in Tehran described playing music and dancing to try to distract their children. “I don’t know how much longer we can live like this,” one resident told CNN.
• Strait of Hormuz: Some ships, with ties to India, China and Pakistan, have been able to pass through the strait in recent days. Three Chinese vessels recently navigated through the critical waterway, the country’s foreign ministry said Tuesday, alluding to coordination with Iranian authorities. Iran has previously said non-hostile vessels may transit the strait provided they coordinate with local authorities. Iranian officials have also said they will charge fees for some tankers to pass through the strait.
• Civilian toll: Thousands of people have been killed across the region since the war began just over a month ago. In Lebanon, one-fifth of the population has been displaced and 1,247 killed since Israel’s operations there began. More than 1,900 people have been killed in Iran, according to the Iranian Red Crescent, while dozens more have been killed in Iraq, Israel and across the Persian Gulf region.
• Peacekeepers killed: France called for an emergency meeting of the United Nations Security Council after two Indonesian UN peacekeepers were killed in southern Lebanon on Monday. It was the second fatal incident involving UN peacekeeping personnel since the weekend. The UN mission in Lebanon said it has launched an investigation to determine what happened, and did not attribute blame to any party. Israel said it is reviewing the incident to determine whether the deaths were caused by its military, or by Hezbollah, the Iran-backed group in Lebanon.
• Israel targeted: Several cars caught fire in central Israel when they were struck by missile fragments after a fresh attack from Iran. The damage appeared to be from a cluster munition, an IDF spokesperson told CNN.

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