U.S. Diesel Prices Drop for 10th Consecutive Week, Easing Pressure on Trucking Industry

The national average diesel price in the U.S. fell for the 10th week in a row, dropping by 2.9 cents to $3.526 per gallon, as reported by the U.S. Energy Information Administration (EIA) on September 16. This ongoing decline since July 8 totals 33.9 cents, indicating a steady downward trend in diesel costs over the last two months.

Year-Over-Year Comparison

Compared to the same week last year, the current national average diesel price is down by $1.107 per gallon, providing much-needed relief to the trucking sector. Significant price reductions have been observed across the country, with the West Coast and Rocky Mountain regions leading the drop, decreasing by $1.451 and $1.276, respectively.

The Gulf Coast and Midwest regions also recorded considerable drops, at $1.18 and $1.011, respectively, while the East Coast saw a decrease of 95.2 cents per gallon.

U.S. On-Highway Diesel Fuel Prices Breakdown

According to the latest EIA data, here is a detailed regional analysis:

Regional Fuel Analysis

  • East Coast (PADD 1): Diesel prices decreased by 3.4 cents, settling at $3.585 per gallon. Notably, New England experienced the sharpest decline within this region, dropping 5.3 cents.
    • New England (PADD 1A): Prices fell by 5.3 cents to $3.818, marking the most significant weekly decline among subregions. Year over year, prices have dropped by 76.9 cents.
    • Central Atlantic (PADD 1B): Prices dipped 3.7 cents to $3.810, reflecting a substantial 94-cent year-over-year decrease.
    • Lower Atlantic (PADD 1C): Saw a 2.9-cent reduction, bringing the average to $3.479, down by 97.7 cents from the previous year.
  • Midwest (PADD 2): Diesel prices declined by 4.7 cents to $3.481 per gallon. Since August 19, prices have dropped by 19.3 cents and are now $1.011 lower than this time last year.
  • Gulf Coast (PADD 3): Typically known for the lowest diesel prices due to proximity to refineries, this region saw a minor 1.8-cent decrease, landing at $3.172 per gallon. This marks a significant $1.18 drop year over year.
  • Rocky Mountain (PADD 4): The only region to see an increase, with a 2.1-cent uptick to $3.588 per gallon. Despite this rise, the year-over-year comparison shows prices are still $1.276 lower.
  • West Coast (PADD 5): Prices fell by 1.3 cents to $4.244, the smallest weekly decline among all regions. In California, diesel prices dropped by just 0.6 cents, now at $4.733 per gallon. However, the West Coast remains the region with the most considerable yearly decrease, down by $1.451.

Gasoline Price Update

The average gasoline price also declined, dropping by 5.6 cents to $3.18 per gallon. This price is 69.8 cents less than it was at the same time last year. The Midwest region saw the steepest decline, with a 9.3-cent drop.

Summary

The consistent decrease in diesel prices is a positive development for the trucking industry, alleviating some of the financial pressures. With the national average significantly lower than last year’s rates, the current trend provides truckers and logistics companies with a bit of breathing room.

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