While many parts of the U.S. are still thawing out after record-setting low temperatures and snowfall in areas that haven’t seen snow in years, if not decades, it looks as though the transportation industry will have another issue to contend with, and that is rising diesel prices. The first week of January marked the largest weekly gain since the beginning of November, and could actually show a trend for where diesel is heading, at least in the first few weeks of 2018.
Drivers Were Hit with a Rather Substantial Price Increase
For those heading to the pump right now, there was a real shock to see the rise of seven cents per gallon of diesel. Right now, the current price is sitting around $2.973 per gallon, and as mentioned this was the largest weekly gain since back on November 6, when the price rose by 6.3 cents per gallon.
The Department of Energy’s Energy Information Administration (EIA) states that this increase can partly be blamed on the cold weather that engulfed so many parts of the country at the end of December and heading into the New Year.
What makes this gain even more significant is that it was the second straight weekly gain, which took place at the end of December and heading into January. As far as the WTI Crude price, it currently sits at $60.37 at the time of publication.
The Increases Have Been Steady for Two Years Now
While this latest increase may have you feeling the pinch, if you look back at what the prices have done over a longer period of time, diesel prices actually starting increasing back in January 2016. The prices also vary according to what area of the country you are in, with some of the highest prices historically being in the region of California.
The weather is certainly a contributing factor in the price increase, but there have been other factors as well. Throughout 2017, there was a rise in the price of diesel, not just in the U.S. but in a number of places around the world. At the same time, there was a decrease in diesel production, which causes the price to go up. As consumption continues to climb, look for the prices to reflect the same trend, according to the Energy Department.
Take Steps to Help Conserve Your Fuel
So, for those looking to find a little relief, you may want to take some extra steps and measures that will help you to conserve diesel. These include keeping your truck well-maintained and in proper running condition, make sure you are planning routes in the best possible way so as not to travel further than needed, keep your tires at the correct air pressure, and consider adding a surcharge on shipments.
If you’re looking to make modifications to your truck itself in hopes of bettering your diesel consumption, then you’ll want to check out blacksmokemedia.com, which covers all things truck related.
Watching and Waiting
For now, it appears that truckers can only watch and wait to see if these prices continue to trend upwards.
