AI Generated Image
US diesel prices hit a record high at $5.85 on average
AP News • • business
Key Points:
- Diesel prices in the U.S. have reached a record high of $5.85 per gallon amid ongoing conflict between the U.S. and Iran, disrupting global fuel supply chains and increasing transportation costs.
- Higher diesel costs are driving up prices for a wide range of goods, especially perishable food items like produce and meat, as diesel powers farm equipment and transportation networks.
- The rise in fuel prices is impacting businesses across sectors, with companies like Amazon, UPS, FedEx, and USPS adding fuel surcharges to offset increased operational costs.
- While gasoline prices have also increased to an average of $4.15 per gallon, diesel’s price surge is more pronounced due to its critical role in freight and logistics, with limited alternatives available for diesel-dependent networks.
- Experts warn that sustained high diesel prices could deepen economic strain globally, particularly in import-reliant regions such as Africa and Asia, and may have political implications ahead of upcoming elections.
