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🇦🇪 United Arab Emirates /Economy & Trade

US diesel prices hit record high as Iran war squeezes voters

From Gulf Today · () English

Translated from English and summarized by DistantNews. Read the original for the full story.

At a glance

Newswire Named sources Ongoing story
  • US diesel prices reached a record $5.85 per gallon, up from $3.71 a year earlier, according to AAA.
  • Farmers and food suppliers face higher costs after fighting involving Iran disrupted energy markets and blocked the Strait of Hormuz.
  • The increase is adding to voter frustration ahead of November’s US midterm elections, although one farmer said economic concerns might not change his Republican vote.

A gallon of diesel now costs a record $5.85 in the United States, up from $3.71 a year ago. The increase is hitting the fuel used to move freight, operate farm equipment and power construction machinery.

It’s really discouraging for sure.

· Derrick AustinThe North Carolina farmer described his reaction to rising diesel costs.

For North Carolina farmer Derrick Austin, the higher prices could add about $15,000 to his autumn soybean and corn harvest. “It’s really discouraging for sure,” Austin told AFP. “That’s $15,000 that could stay in my bank account.” He said farmers were becoming frustrated with President Donald Trump’s administration.

Diesel costs have climbed alongside fertilizer prices as the Middle East war continues. Prices for refined fuels have risen more sharply than crude oil, according to Afdhal Rahman of banking group OCBC. US-Israeli strikes on Iran in late February prompted retaliation from Tehran, including the blocking of the Strait of Hormuz, an important route for energy shipments. Oil prices surged again this week as fighting escalated.

That’s $15,000 that could stay in my bank account.

· Derrick AustinAustin estimated the additional cost that higher diesel prices could add to his fall harvest.

The pressure reaches beyond farms. Diesel powers the trucks that deliver food to grocery stores, and the Independent Grocers Alliance estimates that fuel-related expenses can make up 15% to 30% of the cost of some food products. Regular gasoline has also risen, averaging $4.15 a gallon compared with $3.20 last year.

While oil prices have largely hovered around the $90 mark, prices for refined products such as gasoline and diesel, the fuels consumers actually use, have risen meaningfully and outpaced the increase in crude oil prices.

· Afdhal RahmanThe OCBC analyst explained why consumers are seeing sharper increases in gasoline and diesel than in crude oil.

The price increases are unfolding six months into the war and weeks before the November midterm elections. Austin said the economic strain might not be enough to push voters away from Trump’s Republican Party. “I would say they will probably still vote for the party, even though they’re discouraged with some of his policies,” he said. Vice President JD Vance blamed Iran for the pressure and said markets were inherently unpredictable when asked about a previous forecast that gasoline could return to $3 by Labor Day.

I would say they will probably still vote for the party, even though they’re discouraged with some of his policies.

· Derrick AustinAustin said higher costs might not persuade voters to abandon Trump’s Republican Party.
About this summary

Originally published by Gulf Today in English. Translated, summarized, and contextualized automatically by DistantNews, with a note on how the source frames the story. Not individually reviewed before publishing. How this works.

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