Fluctuating diesel fuel prices significantly affect sectors like trucking, agriculture, manufacturing, and everyday consumers. Factors like supply and demand, regional taxes, and global events contribute to these shifts. Understanding diesel prices in each state is crucial, and we’ve compiled data to provide an insightful overview of the variance across the U.S.
Hawaii holds the record for the highest average diesel fuel price at $5.59 per gallon, primarily due to its distinctive geographical location, leading to elevated transportation and supply expenses.
California comes in second place with an average diesel price of $4.57, influenced by various factors such as state taxes and stringent environmental regulations.
Oklahoma boasts the lowest average diesel price at $3.41, thanks to its abundant oil reserves and efficient supply chain. Midwestern states like Missouri ($3.57), Nebraska ($3.60), and Mississippi ($3.55) fall just below the national average. On the East Coast, Rhode Island and Pennsylvania surpass the national average at $4.21 and $4.47, while Delaware and North Carolina hover slightly below at $3.80 and $3.85.
National Average Diesel Fuel Price
- Current Avg. = $4.079
- Yesterday Avg. = $4.085
- Week Ago Avg. = $4.106
- Month Ago Avg. = $3.917
- Year Ago Avg. = $4.435
Why is diesel more expensive than gas?
Diesel’s higher cost compared to gasoline can be attributed to several factors, including government taxes favoring gasoline. In the United States, diesel faces a tax of 24.3 cents per gallon, while regular gasoline is taxed at 18.3 cents per gallon, as reported by the U.S. Energy Information Administration.
Additionally, the surge in demand for certain diesel components for marine fuel production has impacted diesel prices. The International Maritime Organization’s 2020 regulations led to the adoption of a new fuel, very low sulfur fuel oil (VLSFO), derived from distillate molecules shared with diesel production. This shift in usage contributed to the increased cost of diesel.
- Furthermore, geopolitical events, such as the war in Ukraine, have played a role in sustaining elevated diesel and gasoline prices. The U.S. response to Russia’s invasion of Ukraine in February 2022 included a ban on the import of Russian oil and petroleum products, including diesel. With Russia being a major global oil producer, this restriction has led to a reduction in the available supply, further influencing fuel prices.
