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Diesel Prices Surge: U.S. Faces 20-Year Highs

12/8/2025

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Story summary
  • Diesel prices have remained higher than gasoline prices in the United States for nearly twenty years due to factors including 2006 cleaner-diesel regulations and a higher federal tax on diesel.
  • Cleaner-diesel regulations implemented in 2006 increased production costs.
  • The federal tax on diesel is 24.3 cents per gallon, higher than gasoline's 18.3 cents, reflecting wear from heavy-duty vehicles on roads.
  • Recent disruptions, such as the loss of Russian imports, have caused price spikes.
  • European countries typically tax gasoline more, resulting in cheaper diesel prices.