Trump says US to tap strategic oil reserve as US-Israel war on Iran hikes prices

US President Donald Trump has said the United States will tap its Strategic Petroleum Reserve "a little bit" to help reduce energy prices amid disruptions linked to US-Israel war on Iran.

Speaking in an interview with Local 12 television in Cincinnati, Ohio on Wednesday, Trump said limited use of the reserve could help ease pressure on prices.

"Right now we'll reduce it a little bit and that brings the prices down," Trump said when asked whether he planned to use the US Strategic Petroleum Reserve.

Trump also said the reserve would eventually be replenished.

"We'll do that, and then we'll fill it up," he said in an interview with Cincinnati broadcaster WKRC.

"I filled it up once, and I'll fill it up again, but right now, we'll reduce it a little bit, and that brings the prices down," the president added.

Largest release ever

Trump's remarks come after the International Energy Agency said member countries had agreed to release oil supplies to address major disruptions caused by the US-Israel war on Iran.

The agency said it would release 400 million barrels of oil from strategic stockpiles — the largest coordinated release in the more than 50-year history of the organisation.

The United States is a member of the International Energy Agency along with more than 30 economies across Europe, North America and Northeast Asia.

The US currently holds about 415 million barrels of oil in its Strategic Petroleum Reserve, roughly 58 percent of its authorised capacity of 714 million barrels.

Interior Secretary Doug Burgum earlier said the decision on whether Washington would participate in the IEA action ultimately rests with the president.

"I think what you're hearing out of the IEA today is reasonable on their part, but clearly whether the US participates is up to President Trump, he will make the final decision on that," Burgum told CNBC's "Power Lunch".