Diesel Price
11-27-2008, 08:04 PM
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Diesel Price
Can anyone tell me why diesel is $1.20 to $1.50 more per gallon than 87 gas
and can someone please tell me why the trucking business is not screaming about this?
Fred
and can someone please tell me why the trucking business is not screaming about this?Fred
11-27-2008, 08:08 PM
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As much as I hate to see that, being diesel is a by product of gasoline. At least we're not paying 4.85+ a gallon anymore. I just paid 2.18 a gallon. I know it should be lower but who am I to complain when its more than half what it was.
11-28-2008, 08:31 AM
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Im sure someone has a clearer answer with more details, but apparently the USA isnt set up to refine as much diesel as we need so we import it. We have a surplus of gasoline and export that. Seems to me it should be an even trade though, right? 
11-28-2008, 09:24 AM
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As for the trucking industry , fuel surcharges compensate for fluxuation of fuel prices . There can be problems with that though . O/O's can't be sure carriers and brokers are passing on 100% of the surcharge and O/O's with their own authority find it difficult to add surcharges to LTL freight .
11-28-2008, 09:28 AM
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Not sure what you mean? Diesel and gas are made in the same 'cracking tower' at the refinery....just pulled out of crude at different temps. Diesel is actually easier/cheaper to make.
Problem is, IMO, we are in a world wide fuel market. Oil Co's get higher price for diesel outside the US...so we have to pay the going price to keep it here.
RJ
Problem is, IMO, we are in a world wide fuel market. Oil Co's get higher price for diesel outside the US...so we have to pay the going price to keep it here.
RJ
11-28-2008, 01:01 PM
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ive heard that the U.S. sells a lot of the diesel it makes because they can get more for it in other locations around the world. also the good old U.S.A has extra tax on diesel fuel and depending on what state you live in there is more taxs on diesel. around my place in western Washington state gas is 1.85 and diesel is 2.60 around .75 more just a mounth or two ago it was only .50 a gallon more. i dont know why diesel is lagging behind on the price drop but i dont like it.
11-28-2008, 02:34 PM
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Diesel and gas are made in the same 'cracking tower' at the refinery
From what I understand this isn't going to change for the foreseeable future.
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12-02-2008, 01:16 PM
#8
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FYI ULSD can be re-refined in to gas if the need was to arise but at this time they make more selling it to the EU: US West Coast diesel is heading to NW Europe: http://www.platts.com/Oil/News/6020388.xml
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