Iran's War and US Fuel Spending

The United States has experienced a significant increase in consumer spending on fuel over six months, totaling more than $100 billion, following the outbreak of the U.S.-Iranian war on February 28, 2026. Gasoline prices have risen by 39%, from approximately $2.98 to $4.15 per gallon, while diesel prices have increased by more than 60%, from $3.67 to $5.90 per gallon. This has led to an average additional expenditure of $763 per household, according to a study by the Watson Institute. The highest fuel prices were recorded in California, where gasoline reached $5.85 per gallon, while Indiana remains the least expensive. The surge in fuel prices has also driven up food production costs, mainly through increased fertilizer prices, which rely on gas, and higher transportation expenses, resulting in elevated consumer prices for goods. Public opinion in America blames President Trump for the rising prices, despite his statement that the increase is normal and that he is placing the blame on oil companies.

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