Low Diesel Prices Fueling Industry Economy
Low diesel prices continue to benefit both trucking companies and truck drivers. According to Fuel Gauge Report by AAA, the current diesel price average is at $3.609 a gallon. Diesel prices haven’t been this low since February 2011. Regular fuel prices are also low, closing in on the $3 per gallon mark for the first time since December 27, 2010. The current average cost for a gallon of regular gasoline is currently at $3.034.
The experts are mixed when it comes to trends and analysis of future diesel prices. Some oil analysts have said they expect oil to hit $75 a barrel next year as U.S. oil production continues to rise and the global economy continues to falter. Others believe that we’ll see a steady increase in crude oil prices over the next year. Either way, the low diesel prices are helping independent drivers and trucking companies bring in more revenue.
“It’s nice to finally get a break on fuel prices,” Jack Ellis told Truckers Logic. “Fuel is a driver’s top expense and when you’re driving around 1,000 miles a day, the cost quickly rises. I’ll thank Uncle Sam for now and be on my way.” When we asked Ellis if he thought the low diesel prices would continue, he commented smiling, “I hope.”
Gas and diesel prices typically decline this time of year, but have fallen more swiftly than typical due to the sharply declining price of crude oil. The cost of crude oil accounts for approximately two-thirds of the price consumers pay for gasoline, which means, barring any other factors, gas prices continue to fall as long as crude oil prices decline. Today’s national average price of gas represents an 18 percent savings compared to the 2014 high of $3.70 per gallon, which was reached on April 28.
Below, you’ll find AAA’s heat map for fuel retail pricing by each state.
