Trucking a Container in California Can Cost 35% More Per Gallon of Diesel Than in Houston
Until electrification fully kicks in, the goods movement industry will continue to depend hugely on trucks burning diesel fuel. Not surprisingly, California has the highest diesel prices in the continental U.S., but here are some of the latest details.
According to data compiled by the U.S. Energy Information Administration, the average cost of a gallon of diesel fuel in California during the week of August 11 was $4.889. Elsewhere on the West Coast, diesel fuel cost $4.148 per gallon.
By contrast, truckers serving the East Coast paid anywhere from $3.666 per gallon in the Lower Atlantic states (Virginia to Florida) to $3.985 in New England. Diesel prices along the Gulf Coast averaged $3.776 per gallon.
The Automobile Association of America (AAA) reports that a gallon of diesel in the Los Angeles-Long Beach area cost an average of $5.125 on August 13. While that was certainly below the record high of $6.981 per gallon recorded in June 2022, it was up 4.1% from a year earlier.
Truckers serving the Port of Oakland are currently paying $5.266 per gallon for diesel fuel, up 4.5% from a year ago. Diesel prices peaked in June 2022 at $7.129 per gallon in Alameda County, according to the AAA.
Truckers hauling cargo to and from the Ports of Tacoma and Seattle on August 18 were paying $4.446 per gallon for diesel, a 41.5% premium over the national average. But, over the border in Canada where fuel taxes are generally higher than they are in the U.S., truckers serving the Port of Vancouver are, according to Natural Resources Canada, currently forking over 1.758 Canadian dollars per liter.
There are 3.785 liters in a gallon, and the Canadian Loonie is now valued at US$0.7244. (No one said there would be no math required.)
Looking at this from an importers’ perspective, the cost of the fuel required to dray a container out of the Port of Long Beach or the Port of Los Angeles is approximately 35.7% higher than a similar move from Port Houston.