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By Anna Skinner
Associate News Editor
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Fuel prices have climbed to record highs in two states as global oil markets remain rattled by the ongoing Iran conflict.
The conflict has slowed or halted tanker traffic through the Strait of Hormuz—a major shipping route for the world’s oil—causing a significant supply shock and pushing U.S. fuel costs up more than 30 percent in just weeks. With crude suddenly more expensive and harder to transport, soaring fuel prices have been felt by customers, with some fuel prices hitting all-time record highs.
The announcement, made by GasBuddy Head of Petroleum Analysis Patrick De Haan on Wednesday, comes as gas prices have continued to rise across the U.S. in recent weeks. The national average cost of a gallon of gas was $3.983 on Wednesday, according to AAA, whereas a week ago, it was at $3.842. A month ago, the national average was below $3 per gallon. Diesel prices have also been climbing higher, with two states setting a new all-time record for the price of a gallon of diesel on Wednesday.
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"California and Washington have both now set new all-time records for average diesel price," De Haan posted with an image of a graph that showed diesel prices surging past $7 in California and $6 in Washington.
Newsweek reached out to De Haan and Gas Buddy by email for comment.
In a follow-up post, De Haan dove deeper into the issue.
"conveniently the only two states that have set records thus far... have cap and trade or 'cap and invest' programs that have a huge cost that falls on to consumers," De Haan posted.
A fuel price map from AAA revealed that California hit its record diesel price on Wednesday at $7.072 per gallon. A year ago, a gallon of diesel cost $5 on average. In Washington, a gallon of diesel cost $6.528 on average, also a new record.
What’s the Difference Between Diesel and Gasoline?
Diesel and gasoline are both refined from crude oil, but they work very differently inside an engine. Gasoline engines ignite fuel with a spark plug, requiring a more volatile fuel that evaporates easily. Diesel engines compress air until it becomes hot enough to ignite the injected diesel fuel on its own, which is why they don’t use spark plugs. This higher compression makes diesel engines more efficient, delivering greater torque and better fuel economy, especially for heavy loads or long-distance driving. Gasoline engines, by contrast, tend to be lighter, quieter, and quicker‑revving, making them better suited for everyday passenger vehicles.
Diesel fuel is thicker and more energy‑dense, while gasoline burns cleaner in terms of particulate emissions, contributing to diesel’s decline in the U.S. as emissions standards have tightened. Diesel engines are now found almost exclusively in heavy‑duty trucks, commercial vans, and full‑size SUVs, as automakers have phased out diesel passenger cars entirely.
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