Story perspectives

Record diesel prices squeeze U.S. farm margins, AAA says

By Drooid · Sep 12, 2026, 12:10 AM UTC · How we work

Summary

Story summary

U.S. farmers confront record diesel prices as the war with Iran lifts average to $5.85 per gallon on Sept. 4.
American Automobile Association (AAA) reported diesel rose to $6.05 per gallon nationwide by Sept. 11.
North Dakota Farmers Union President Matt Perdue said diesel costs now equal a bushel of wheat.
University of Wisconsin professor Paul Mitchell warned higher diesel tightens farm margins by hurting harvesting and grain hauling.

History

Historical Context

The 1973 OPEC oil embargo, triggered in October 1973, quadrupled U.S. gasoline prices and sparked a nationwide energy crisis. OPEC’s decision pushed crude from $3 to $12 per barrel, prompting President Richard Nixon to impose gasoline rationing and price controls. Today, diesel at $5.85 per gallon echoes shock, squeezing like Farmers Union President Matt Perdue and prompting Wisconsin’s Paul Mitchell to warn of tighter margins. The 1973 crisis spurred the 1975 Energy Policy Act and continues to shape debates on fuel subsidies, biofuel mandates, and agricultural resilience.

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Story summary

U.S. farmers confront record diesel prices as the war with Iran lifts average to $5.85 per gallon on Sept. 4.
American Automobile Association (AAA) reported diesel rose to $6.05 per gallon nationwide by Sept. 11.
North Dakota Farmers Union President Matt Perdue said diesel costs now equal a bushel of wheat.
University of Wisconsin professor Paul Mitchell warned higher diesel tightens farm margins by hurting harvesting and grain hauling.

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