US average reaches historic $6.51 per gallon, AAA says

On September 20, the average price of diesel fuel in the United States soared to a record high of $6.51 per gallon, according to the American Automobile Association (AAA). This represents a significant jump from $6.20 a week earlier, $5.55 a month prior, and $3.70 a year ago. The September 20th figure marks the highest national average for diesel on record, surpassing previous peaks reached during the 2022 energy crisis.

The price surge is attributed to disruptions in global fuel markets due to oil production, transportation, and refining bottlenecks. Conflicts in the Middle East and Ukraine have compounded the issue, with Iranian attacks on Russian refineries further straining supplies from one of the world's major petroleum exporters. Diesel fuel is particularly vital for industries such as trucking, agriculture, construction, and industrial activity, meaning sustained price increases can indirectly contribute to broader consumer inflation through higher transportation and production costs.

Meanwhile, crude oil prices remain above $100 per barrel. On September 18, Brent crude settled at $104.87 per barrel, while U.S. West Texas Intermediate closed at $100.30. President Donald Trump has frequently connected the rise in energy prices to the ongoing war with Iran. He predicted that the conflict would conclude "immediately after" the U.S. midterm elections in November, suggesting that oil prices would fall once the fighting ceased.

However, the war has now entered its seventh month, with no clear timetable for an agreement in sight. The record diesel price has emerged as a pressing economic concern ahead of the November midterm elections, with higher fuel costs placing additional strain on transportation, agriculture, and consumer prices across the United States.