U.S. Diesel Prices Reach Record $6.06 as Iran War Disrupts Fuel Markets

  • AAA reported U.S. diesel at $6.05 a gallon on Friday.
  • Diesel rose from $5.32 a month earlier and $3.70 a year earlier.
  • Russia extended its diesel export ban through the end of September.

U.S. diesel prices reached a record national average of about $6.05 to $6.06 a gallon on Friday, surpassing $6 for the first time as war-related disruptions and limited refining capacity tightened global fuel supplies. AAA said the price rose from $5.32 a month earlier and $3.70 a year earlier. Crude benchmarks remained roughly 20% higher over the month despite a pullback, while refined fuels have risen faster because refinery capacity and inventories remain constrained. Commercial flows through the Strait of Hormuz remain restricted, Russian refinery damage and Moscow's diesel export ban have reduced supply, and attacks affecting Gulf, Red Sea and Black Sea infrastructure have compounded market strain. The European Central Bank raised rates by a quarter point over energy-inflation risks, while markets priced about a 70% chance of a 25-basis-point Federal Reserve increase at its September meeting.

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