Everyone is aware that gas prices are at record highs. In some parts of the country, it might cost $100 to fill up your SUV with 18 gallons of petrol. But diesel fuel prices are also at record levels, and it’s trending at about $1.00 more than gas. Instead of a $100 fill-up, how would you like to shell out $1,227.49 for a full tank?
That’s the reality facing the trucking industry right now. The above image comes from an anonymous Motor1.com reader who, in one fuel stop, spent enough money to buy a fully functional (if not terrifically pretty) car in most places. The latest weekly data from the US Energy Information Administration (EIA) shows diesel fuel averaging $5.19 per gallon in the United States. Ironically, some quick number crunching shows that’s exactly the price-per-gallon for this fuel stop.
However, our source also stated this 236-gallon stop would cover about 1,500 miles, which translates to three days of travel in his line of work. So the weekly fuel bill here isn’t $1,227.49. It’s actually double – a whopping $2,454.98, every six days. Head west and things are considerably more expensive, with the EIA reporting an average diesel fuel price of $5.87 for the US West Coast. California is the most expensive of all, with an average price of $6.29.
Record-high fuel prices mean higher transportation costs, and that generally leads to higher prices for goods and services. A report from The Washington Post offers several examples, including a trucking company based in New York paying $400,000 per month in diesel as it delivers freight and food to grocery stores. Businesses using gasoline-powered vehicles are also forced to raise prices, with The Washington Post highlighting mainstream services like lawn maintenance to specialty businesses like dog grooming. A busy Motor1.com staffer even pointed out a temporary fuel surcharge on today’s lunch delivery.
Will there be any relief in the near future? As of March 28, gas and diesel prices have somewhat stabilized after several weeks of steady increases. The EIA reports a weekly average gasoline price of $4.24, a slight drop from the week prior. However, diesel’s $5.19 average is slightly up from the previous week. In the oil market, Brent crude is down nearly 7 percent at $112.50 a barrel, with WTI crude dropping almost 2 percent to close at $104.
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