
California’s diesel prices reach a record US$7.018 per gallon, driven by reduced refining capacity and global energy disruptions, impacting transportation costs.
LOS ANGELES: Diesel prices in California have surged to a record high. The American Automobile Association reported an average price of US$7.018 per gallon.
This figure marks the highest level recorded in the AAA’s database. The current national average price for diesel is about US$5.345 per gallon.
US media reports link the price spike to reduced oil-refining capacity and global energy shipment disruptions. California has lost two refineries since October 2025, cutting roughly 20% of its state capacity.
The soaring diesel costs are driving up transportation expenses. This increase threatens to ripple into higher prices for food, building materials, and retail goods shipped by truck.

