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Gasoline prices are still rising as the Iran war stretches into its third week
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Special Series Middle East conflict Conflict in the Middle East has been escalating. These stories provide context for current developments and the history that led up to them.
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Global crude oil prices have been volatile over the last few weeks following the U.S. and Israel's attack on Iran. Before the war, oil was closer to $70 a barrel.
U.S. And up. And up.
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Prices at the pump are currently averaging $3.718 a gallon, according to the latest data from the American Automobile Association (AAA), which tracks prices nationwide. That's up nearly 80 cents from a month ago.
Diesel prices, meanwhile, have grown even more sharply. Diesel is just under $5 a gallon, according to AAA, $1.34 higher than last month.
Business WATCH: How traffic dried up in the Strait of Hormuz since the Iran war began Global oil supplies are experiencing their worst disruption in decades, thanks to a sharp decrease in ship traffic through the Strait of Hormuz, the crucial waterway through which about 20% of the world's oil traffic typically passes, as well as attacks by both sides on critical oil infrastructure.
Prices are still lower than they were in 2022, when Russia's full-scale invasion of Ukraine sent them soaring.
But they could continue to rise.
"At the same time, seasonal forces are beginning to intensify as several regions complete the transition to summer gasoline, creating a double headwind that could continue driving pump prices higher in the weeks ahead."
Summer gasoline is a reformulated blend, required by the Clean Air Act, that is less volatile, which leads to less air pollution during the warmer summer months.
Higher gasoline prices put pressure on household budgets, particularly for lower-income Americans. Higher diesel prices have an inflationary impact on nearly all goods in the economy, because diesel is used to power farm equipment, construction equipment, and the trucks, the ships and many of the trains that carry goods around the world.
President Trump has said that while gasoline prices are higher now, they will come down quickly when the war is over. He has also commented that because the U.S. is the world's largest oil producer, "We make a lot of money" when oil prices go up.
Middle East conflict Oil and gas prices are soaring. Some countries are ready with solar panels and EVs Higher oil prices have other economic implications. In the long run, that's positive for efforts to fight climate change and air pollution — and negative for oil producers. The oil cartel OPEC actively avoids pushing oil prices too high, in part because of the risk it poses to long-term oil demand.
Middle East conflict Countries agree to a historic release of stockpiled oil to ease global disruption In an attempt to calm markets, last week the International Energy Agency, an organization representing the world's largest oil consumers, announced its largest-ever release of crude oil from national stockpiles, including 172 million barrels from the United States' Strategic Petroleum Reserve.
Still, after that announcement, oil prices continued to rise.
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− Camila Domonoske
A customer fuels up with regular gasoline priced at $5.29 at a Chevron gas station in Bellevue, Wash., Friday, March 13, 2026.
+ Camila Domonoske
A customer fuels up with regular gasoline priced at $5.29 at a Chevron gas station in Bellevue, Wash., on March 13.
− They spiked to nearly $120 a barrel about a week after the war began, and then fell to around $100, where they have been hovering for several days.
+ They spiked to nearly $120 a barrel about a week after the war began and then fell to around $100, where they have been hovering for several days.
− gasoline prices, on the other hand, have gone in only one direction: Up.
+ gasoline prices, on the other hand, have gone in only one direction: up.
− "Until we see a meaningful resumption of oil flows through the Strait of Hormuz, upward pressure on fuel prices is likely to persist," Patrick de Haan, the head of petroleum analysis at the app GasBuddy, wrote in a note on Monday.
+ "Until we see a meaningful resumption of oil flows through the Strait of Hormuz, upward pressure on fuel prices is likely to persist," Patrick De Haan, the head of petroleum analysis at the app GasBuddy, wrote in a note on Monday.
− For one thing, they incentivize companies and countries to invest more heavily in alternatives to oil, like solar power, batteries and EVs, which become more economically competitive when oil becomes more expensive, and offer protection against the volatility of fossil fuel markets.
+ For one thing, they incentivize companies and countries to invest more heavily in alternatives to oil, like solar power, batteries and electric vehicles, which become more economically competitive when oil becomes more expensive and which offer protection against the volatility of fossil fuel markets.