The average national price of gasoline in the United States has reached its highest point since August 2022. This is reported by the BBC.
To be precise, the price on Tuesday is up to $4.02 per gallon. This corresponds to a liter price of $1.06 or 6.87 Danish kroner. In addition to the fact that the average price per gallon of gasoline in the United States has increased by approximately 6.48 kroner since February 28, the average diesel price per gallon has also increased by around 11.02 kroner.
The price increases come in the wake of the conflict with Iran in the Middle East, which started on February 28. According to the BBC, the average liter price for gasoline at that time was around $0.79 or 5.12 Danish kroner. Due to the size of the United States and its division into states, gasoline prices can vary from state to state and from region to region.
Therefore, the American Automobile Association (AAA) - the equivalent of FDM in Denmark - calculates the average price for the entire nation to provide a benchmark.
As a consequence of the US and Israeli attacks on Iran, the Iranians have chosen to de facto close the Strait of Hormuz, through which only very few ships currently sail. About a fifth of all the world's oil is shipped through the strait, and this can now also be felt in gasoline prices in the United States.
Trump had lower prices as an election promise
The current gasoline prices contrast with promises from US President Donald Trump, who during his presidential campaign against Kamala Harris launched a specific campaign in which he promised to get the average gasoline price below $2 per gallon.
- From the day I am sworn in as president, I will quickly push prices down, and we will make the United States a place where people can afford to live, he said during the election campaign, among other things.
In addition to increased oil prices due to the closure of the Strait of Hormuz, AAA also points out that demand has increased due to the so-called spring break - an American student vacation, where young people typically travel to sunny destinations by car. According to the motorists' organization, this is also pushing prices up a bit.
Not reaching 2022 heights
Gasoline prices are not quite as high in the United States as they were in June 2022 after Russia's invasion of Ukraine, where the average liter price was around 8.55 Danish kroner. Despite this, the credit rating agency Moody's estimates in a report that the price increases could have an even greater impact this time.
- If the conflict is quickly contained, confidence can only be temporarily affected. But a prolonged crisis could lead to increased precautionary savings and further cuts in free consumption, Moody's analysts write according to the BBC.
The rising gasoline prices are not just an American phenomenon, but are seen all over the world. In Britain, average petrol prices have risen by 14 percent since the start of the war, and in Denmark they have risen by approximately 3.25 percent.
/ritzau/
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