US Fuel Price Increase Due To Iran War: The ongoing fierce conflict between America, Israel and Iran in West Asia has now shaken the global energy market. The most direct and deadly blow of this war has now started falling on the pockets of American citizens. According to the latest reports, the national average prices of gasoline (petrol) in America have reached a record level, which is reminiscent of the conditions created during the Russia-Ukraine war in the year 2022.
Record jump in fuel prices
According to data released by motor club AAA, the average price of a gallon of gasoline in the US reached about $4.02 on Tuesday. It is noteworthy that when this war started on February 28, the prices were about one dollar less than this. Within just one month, there has been a huge increase of about 35 percent in the prices of petrol. Experts believe that if the conflict prolongs, these prices could go up even higher as the global supply chain has completely collapsed.
mathematics of regional prices
The prices of not only petrol but also diesel used in freight transportation have broken the backs of the general public and businessmen. Before the war, the average price of diesel was $3.76 per gallon, which has now increased to $5.42 per gallon. A big difference in prices is being seen even within America. While the price of a gallon of petrol in California is the highest in the country at $5.89, in Oklahoma it remains at an average of $3.27.
main reason for the crisis
The biggest reason behind this inflation is the blockade of strategic routes. Nearly one-fifth of the world’s oil transport takes place through the Strait of Hormuz. It passes through which is currently almost at a standstill due to the blockade of Iran. Additionally, the involvement of Yemen’s Houthi rebels in the war has also made the Red Sea route unsafe for tankers, leading to severe cuts in oil production and supplies.
Also read:- ‘Buy oil from us or yourself…’, Trump lashed out at allies amid Iran war, gave strict warning to Britain and France
Trump’s peace plan
In view of rising inflation and economic burden, US President Donald Trump seems to be in favor of ending the war soon. He has proposed a 15-point peace plan to Iran, which has currently been rejected by Tehran. Iran demands that its sovereignty over the Strait of Hormuz be acknowledged. Meanwhile, tensions have increased further as there are reports that the US has attacked Iran’s vital nuclear site Isfahan with bunker cluster bombs, the purported video of which has been shared by Trump himself on social media.
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