Diesel Fuel Hits New Records

Diesel is at $5.00 a gallon for the first time in three years, and the run that got it there shows no signs of stopping.

The Department of Energy/EIA weekly benchmark hit $5.071/g on Tuesday, March 17th. It was the 33rd time in history the average has cleared that threshold., and the first time since 2022.

The 21.2 cent jump from the previous week marked the ninth consecutive week of increases. Since the run began on February 27th, at $3.459/g- the last reporting date before coordinated U.S. and Israeli strikes on Iran- the benchmark has climbed $1.612/g.

The key item is ships exporting oil through the Strait of Hormuz. Rystad Energy estimated the Middle East has shed more than 12 million barrels per day of output. That equates to roughly 7% of global demand. Iraq and Kuwait who normally produce about 4.2 million barrels per day are down to 1.5 million per day, causing additional stress.

Analysts are stating that per gallon costs will remain high through Quarter 2, of 2026. Even if the Strait of Hormuz was opened today, it would take 4 weeks to return volumes back to normal.

What does WBT do to combat these rising costs? We operate a fleet of modern equipment that is more efficient. We also watch trucks idling and trucks shutdown automatically after 5 minutes of idle. Lastly, we are working with our drivers and customers to combine shipments and reduce empty miles which consume less fuel.

Call Chris today at 262-689-9202 to discuss how we can help you!

Information for this article provided in part by Freightwaves.com.