Iran war: How US consumers spent an additional $100bn on fuel

What the report says

US consumers have paid an estimated $100bn more for petrol and diesel in the six months since the US-Israel war on Iran began on February 28, according to a tracker cited by Al Jazeera from Brown University’s Watson Institute for International and Public Affairs. The report said the added burden amounts to about $763 per household across roughly 131 million US households.

Al Jazeera reported that fuel prices have climbed sharply during the conflict, with petrol up about 39% and diesel rising by more than 60%. It noted that Americans use far more petrol than diesel, making petrol the larger share of the overall cost increase. The article also said the war has been politically unpopular in the United States, and that many Americans blame President Donald Trump for the higher fuel prices.

Trump has downplayed concern over the increase and has blamed oil companies for alleged price gouging, according to Al Jazeera. The article said he had predicted the conflict would last four to five weeks, but it has now continued for six months without a diplomatic breakthrough. Al Jazeera also provided state-level context, saying prices are highest on the West Coast, especially in California, while Indiana has the lowest average petrol price.

The broader significance, as the article explained, is that higher oil costs can spread through the economy by raising transportation, production, storage and food prices.