March 31 (UPI) — The price of gas hit $4.01 per gallon in the United States Tuesday for the first time since 2022 as the economic effects of the war in Iran grow.
AAA reports that a gallon of premium gas is up to $4.90 on average while diesel is $5.45 per gallon.
Brent crude oil remains above $100 per barrel, reaching as high as $115 on Tuesday morning. The price was about $70 per barrel before the war.
The cost of gas and oil has sharply climbed since Feb. 28, when the United States and Israel launched joint strikes on Iran. Iran has responded by restricting passage through the Strait of Hormuz, effectively closing a key route in the Middle East oil trade.
On Tuesday morning, an oil tanker from Kuwait was struck near Dubai, United Arab Emirates officials said. Kuwait Petroleum Corp., said Iran is responsible for the strike.
The International Energy Agency says the war “has triggered the largest supply chain disruption in the history of the global oil market.” Countries around the world are instituting plans to conserve energy, such as limiting travel through remote work.
Turmoil on the Strait of Hormuz is having a global impact on access to oil. President Donald Trump called on countries struggling with their oil reserves to buy from the United States, posting on social media that “we have plenty.”
The United States has submitted a list of demands to end the war. The president has said for more than a week that he is negotiating with Iran. However, Iran has disputed these claims.
Trump has also threatened Iran with further escalation, posting on social media that he would target its energy infrastructure and desalination plants. Desalination plants are a main source for clean drinking water in the Middle East.
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