Diesel prices hit record highs, straining truckers, businesses, and consumers.
Record Prices Fuel Economic Pressures
The national average price of diesel hit an all-time record high of $5.85.
Truckers like John Merriweather, a Memphis trucker, described the crisis firsthand. I'm going from here to Atlanta, Georgia, and picking up a load in Southaven,
he said. The load weighs 44,000 pounds, and then we'll take it there for $1,500. That's going to take me $600 (of Diesel) to put in my truck to go one way.
Merriweather has been trucking for forty years, and the Memphis father told FOX13 his profits have never been worse.
Supply Chain Disruptions and Broader Impacts
The price increase is tied to the war in Iran, which has disrupted supply chains around the world. Rey Trevino III, president of Pecos Energy, noted that diesel’s role in the economy extends beyond transportation. Diesel is what you would consider a dark horse in the physical economy. It moves everything, grain, freight, construction equipment,
he said. And when diesel is scarce, the rest of the prices are going to go up along with diesel.
Patrick De Haan, GasBuddy’s head of petroleum analysis, emphasized the ripple effects of high diesel prices. Virtually everything… has some level of plastics, which are derived from a barrel of oil,
he explained. The clothes you wear. There's basically nothing in your home that is fully untouched.
This interconnectedness means that even consumers who do not directly use diesel face higher costs for everyday goods.
Truckers Bear the Brunt
Small trucking companies and independent drivers are particularly vulnerable. Robert Mack, a Detroit trucker, said, I just have to accept (the jobs) and make less if I want to work.
