Overview
- Retail diesel reached a national average of about $6.50 per gallon, according to AAA data reported across outlets on Monday, September 21, 2026.
- Multiple supply shocks — reduced shipments through the Strait of Hormuz, Ukrainian strikes on Russian refineries and formal Russian diesel export curbs — have removed millions of barrels of available product.
- U.S. distillate inventories have fallen to multi‑decade lows and storage brokers report more tanks available for lease because there is little diesel to put into storage, signaling traders expect tight supplies to persist.
- The price spike is already hitting businesses: trucking and rail firms warned of earnings pressure, transport stocks fell, and higher diesel costs are feeding into freight, farm and food prices.
- Policy responses are proliferating but limited in scope, with proposals ranging from temporary excise cuts to export bans while officials say durable relief will require restored flows or added refining output.