U.S. diesel prices ease as supplies improve; small but broad declines across regions
For the week of September 15, 2025, the national average on-highway diesel price slipped to $3.739 per gallon from $3.766 a week earlier—a 2.7-cent (0.7%) week-over-week decline. Price softness was broad-based, with every major region posting a modest downtick, led by the Midwest. The pullback aligns with fresh government data showing a sizeable build in distillate stocks and continued high refinery utilization, alongside global oil market headlines tilting bearish on supply.
Price analysis: week-over-week moves
The national average fell 2.7 cents to $3.739/gal, marking a second straight weekly decrease and reflecting improved diesel availability. Regionally, the largest decline came in the Midwest (down 4.4 cents to $3.710), while the Gulf Coast—typically the lowest-priced region due to proximity to refining hubs—dipped 1.5 cents to $3.389. The West Coast remains the outlier at $4.523, though even there prices eased by a penny. The spread between the West ($4.523) and Gulf ($3.389) sits at roughly $1.13/gal, underscoring persistent regional differentials that matter for route planning and fuel budgeting.
Regional comparison
- National: $3.739/gal, down 2.7¢ (−0.7%) w/w
- East: $3.748/gal, down 2.4¢ (−0.6%) w/w
- Midwest: $3.710/gal, down 4.4¢ (−1.2%) w/w
- Gulf: $3.389/gal, down 1.5¢ (−0.4%) w/w
- Rocky Mountains: $3.722/gal, down 3.2¢ (−0.9%) w/w
- West: $4.523/gal, down 1.0¢ (−0.2%) w/w
Market drivers from the past week
- Distillate inventory build and robust refinery runs in the U.S. The latest Weekly Petroleum Status Report (data week ending September 5, released September 10) showed distillate fuel inventories rising by 4.7 million barrels, with refineries operating at a high 94.9% utilization. More diesel in storage and strong output generally pressure wholesale and retail prices lower, a key backdrop for this week’s declines.
- Global oversupply narrative weighed on crude and refined products. By Friday, September 12, crude prices extended losses as markets focused on oversupply risks and softer U.S. demand indicators. Analysts also flagged rising supply expectations tied to planned OPEC+ output increases and agency forecasts, which collectively cooled sentiment and filtered through to diesel futures and rack prices.
- EIA outlook reinforced expectations for inventory builds and lower prices into late 2025. The U.S. Energy Information Administration’s September Short-Term Energy Outlook (released September 9) projected significant global inventory growth in H2 2025 and a downward trajectory for crude benchmarks—forces that typically cap diesel price rallies unless offset by strong seasonal demand or disruptions.
Taken together, the combination of a domestic distillate stock build and a macro narrative of ample supply helped nudge retail diesel lower week over week, even as regional constraints keep the West Coast notably above other markets.
Outlook for truckers
Near term, the supply picture favors stable-to-slightly-softer diesel pricing, especially if U.S. inventories continue to rebuild and crude remains under pressure from oversupply expectations. Watch refinery maintenance timing and any late-September storm activity that could temporarily affect Gulf Coast refining and logistics; absent significant disruptions, current fundamentals suggest incremental relief rather than sharp moves. Keeping an eye on agency outlooks and weekly inventory data will be critical for planning fuel purchases and surcharges into early fall.
This article was prepared exclusively for truckstopinsider.com.
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Source of diesel data is the U.S. Energy Information Administration (EIA).
