Iran war fuel surge costing US households nearly $300 each, study finds

American households are facing sharply rising fuel costs as petrol and diesel prices continue to climb during the ongoing conflict with Iran, according to new research from Brown University.

The university’s Iran War Energy Cost Tracker estimates that higher fuel prices have added around $37 billion in extra costs for US consumers since the war began on February 28.

Researchers said the increase currently amounts to more than $284 per household.

According to the report, petrol prices have risen from $2.98 per gallon at the start of the conflict to $4.52 on Monday, adding an estimated $20 billion in costs for consumers.

Diesel prices have also surged and are now close to the record highs seen in 2022, according to AAA.

Brown University estimated that higher diesel prices have added another $16.9 billion in direct and indirect costs, affecting industries including farming, trucking and rail transport.

The tracker compares current fuel prices with estimates of where prices may have been without the conflict.

Researchers noted that the figures do not include wider economic impacts such as slower growth, job losses, increased military spending or higher borrowing costs linked to the war.