US consumers paying the most for fuel price spikes from Iran war, study says
USO•US consumers have paid an average of $471 more for fuel since the Iran war began on February 28, compared with about $60 worldwide, a study found. The world paid an additional $468 billion for fuel from March to mid-October, including $160 billion in the US.
1. US fuel costs lead globally
US consumers have paid an average of $471 more for fuel since the Iran war began on February 28, the Centre for Research on Energy and Clean Air said. The global average was about $60, based on fuel prices and consumption in 169 countries from the beginning of March to mid-October.
2. Costs and causes
The study said US consumers paid more because of reliance on less efficient private vehicles, longer-distance travel and a relatively slow transition to electric vehicles. It estimated the world paid an additional $468 billion for fuel during the period, including $160 billion in the US, $54 billion in China and $17 billion in Canada.
3. War prolongs disruption
The study linked the price increases to supply disruptions from the war, including the virtual shutting and then blockade of the Strait of Hormuz. The Trump administration has said higher fuel prices are a small cost to stop Iran from obtaining nuclear weapons and that oil and fuel prices will fall when the war ends; the war has lasted longer than the administration predicted.
