Diesel prices in the United States have climbed to an all-time high amid the ongoing war with Iran and growing instability in the Strait of Hormuz. The national average price of diesel reached **$5.85 per gallon**, the American Automobile Association (AAA) reported on Friday, September 4.
The previous record was set in June 2022, following the outbreak of the Russia-Ukraine war.
The surge in diesel prices could push up transportation and manufacturing costs across the US. Diesel is widely used by heavy equipment, buses, trains and freight trucks, raising concerns that higher fuel costs could lead to further increases in the prices of everyday goods and other products.
Gasoline prices are also rising. On Friday, the national average price of gasoline reached **$4.14 per gallon**, a record level for this time of year ahead of the Labor Day holiday weekend.
According to AAA, ongoing instability in the Strait of Hormuz has pushed crude oil prices to around **$90 a barrel**, with the increase feeding directly into retail fuel prices.
Tehran closed the Strait of Hormuz in February in response to US and Israeli attacks. Disruptions along the strategically important waterway, through which a significant share of the world’s energy supplies passes, have driven up global oil and gas prices.
US President Donald Trump and his administration, however, have claimed that oil tankers are now moving through the strait under the protection of the US military. In a social media post on Thursday, Trump said nearly **18 million barrels of oil per day** were passing through the waterway, close to levels seen before the war.
US Vice President JD Vance made a similar claim, saying Iran’s control over the Strait of Hormuz had been “effectively ended.” However, sources familiar with tanker movements said it remains difficult to independently verify the actual volume of shipping through the strait. Many vessels traveling under US protection have reportedly switched off their transponders to avoid detection by Iranian forces.
Iran, meanwhile, maintains that it still controls the Strait of Hormuz and has accused Washington of spreading misleading information in an attempt to influence global energy markets.
Attacks on vessels in the strait have also continued. Recently, two sailors were reportedly killed in an attack on a Saudi oil tanker.
With the US congressional midterm elections approaching in November, rising fuel prices and the increasing cost of living are adding to political pressure on the administration. Opinion polls indicate that, alongside voter dissatisfaction over the war with Iran, inflation and the cost of living have emerged as major concerns for American voters.
