U.S. Diesel Prices Edge Higher: Midwest Leads Weekly Gains, West Still the Priciest
U.S. on-highway diesel prices rose for the week of October 27, 2025, with the national average up 9.8 cents (2.71%) to $3.718 per gallon from $3.62 a week earlier. Every major region posted an increase, led by the Midwest, while the West Coast remained the most expensive market at $4.485. For context, the U.S. Energy Information Administration (EIA) reported a national average of $3.620 for the week of October 20 before this latest move.
Price Analysis: Week-over-Week Change
Nationally, diesel added nearly a dime week over week, reflecting tighter middle-distillate balances and a modest rebound in crude benchmarks late in the week. The Midwest saw the sharpest jump—up 15.1 cents (4.23%) to $3.715—consistent with supply headwinds tied to refinery issues in the region. The Gulf Coast, still the nation’s lowest-priced market, climbed 9.4 cents (2.89%) to $3.35. The West Coast advanced 6.4 cents (1.45%) to $4.485, maintaining a premium near $1.14 per gallon over the Gulf Coast; that regional spread narrowed slightly from last week.
Regional Comparison
- National Average: $3.718 vs. $3.620 last week — up $0.098 (+2.71%).
- East: $3.723 vs. $3.675 — up $0.048 (+1.31%).
- Midwest: $3.715 vs. $3.564 — up $0.151 (+4.23%).
- Gulf: $3.350 vs. $3.256 — up $0.094 (+2.89%).
- Rocky Mountain: $3.686 vs. $3.585 — up $0.101 (+2.82%).
- West: $4.485 vs. $4.421 — up $0.064 (+1.45%).
Market Drivers (past 7 days)
Several developments between October 20 and October 27 likely contributed to this week’s move:
- Midwest supply disruptions: BP reported power restoration at its 440,000 bpd Whiting, Indiana, refinery on October 24 following an external outage, while restart work continued on units affected by a recent fire and planned maintenance. Whiting is the Midwest’s largest refinery and a key producer of diesel; even partial curtailments can tighten regional supply and lift rack and retail prices—helping explain the Midwest’s outsized 15.1-cent gain.
- Crude benchmarks firmed late-week: Oil prices rose more than 1% on Wednesday, October 22, supported by supply-risk headlines and improved risk sentiment. Higher crude typically feeds through to wholesale ULSD and, with a lag, retail diesel.
- Distillate inventories trending lower into late October: EIA data show U.S. distillate fuel oil stocks fell from mid-October levels, remaining below or near seasonal norms across several regions—conditions that can keep diesel basis and margins supported as harvest and heating seasons overlap.
Outlook for Trucking Fleets
Near term, expect choppy but generally firm diesel pricing as refineries complete fall maintenance and restore rates, particularly in the Midwest. If Whiting and other key plants ramp reliably, that should ease some of the regional tightness visible this week.
Looking just ahead, OPEC+ has approved a modest 137,000 bpd output increase beginning in November, a small addition that may temper crude strength but is unlikely to overwhelm seasonal distillate demand on its own. Truckers should plan for incremental relief to be gradual and uneven by region, with the West Coast retaining the steepest premiums due to tighter local specs and logistics.
Actionable takeaways: consider region-specific fuel purchasing strategies, including timing loads in lower-cost Gulf markets when routing allows; monitor rack spreads in the Midwest as refinery utilization normalizes; and keep an eye on weekly EIA inventory and price updates for confirmation that distillate stocks are rebuilding as maintenance winds down.
This article was prepared exclusively for truckstopinsider.com.
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Source of diesel data is the U.S. Energy Information Administration (EIA).
