March 25, 2026 6:00 AM, EDT
The average cost for a gallon of diesel in California rose to the highest level ever as the state deals with limited oil-refining capacity and the war in Iran disrupts global energy shipments.
A gallon of diesel costs an average of $7.018 a gallon, according to the latest data from the American Automobile Association. That topped the previous record of $7.012 in June 2022, in the first months of Russia’s war in Ukraine.
Diesel futures have surged on the war in Iran, with the Strait of Hormuz effectively closed — cutting off both key trade flows of crude oil en route to refineries as well as shipments of diesel and other fuels produced in the region.

