Diesel fuel prices spent the summer swinging with geopolitical developments in the Middle East, and by late August the trend was pointed higher again. Prices had begun moderating as June turned into July, when a peace agreement between the United States and Iran appeared within reach, but that improvement reversed quickly once hostilities resumed and the agreement failed to hold.
Across July, diesel fuel averaged about five dollars per gallon nationally, according to data from the U.S. Energy Information Administration, with prices already topping six dollars per gallon on the West Coast. By the end of August, West Coast diesel prices had climbed past seven dollars per gallon, pushing the region well above the rest of the country.
In its mid August Short Term Energy Outlook, the EIA projected that crude oil production and shipping would remain constrained through the rest of 2026, with a return to averages closer to pre conflict levels not expected until early 2027. The agency pointed to continued disruptions in shipments through the Strait of Hormuz as the primary constraint, noting that the slowdown has limited the buildup of global crude oil inventories that would otherwise help bring prices down.
Higher diesel costs continue to weigh on trucking operating margins, since fuel typically represents a substantial share of a carrier's total cost per mile. Carriers and owner-operators are watching the EIA's weekly price reports closely heading into the fall shipping season, when freight volumes typically increase ahead of the holidays.
Source: TheTrucker.com - https://www.thetrucker.com/trucking-news/business/fuel-prices-seasonal-shipping-lull-impact-july-august-freight-volumes-and-profitability