US Consumers Shell Out $100 Billion More on Fuel Amid Iran Conflict

## Catalyst Analysis: Increased Fuel Costs Strain Consumer Wallets - U.S. consumers have collectively spent an additional $100 billion on gasoline and diesel over the past six months due to the ongoing conflict involving Iran. - The average American household has seen its fuel expenses increase by approximately $763 during this period. - Petrol prices have risen by 39%, moving from an average of $2.98 to $4.15 per gallon, while diesel prices have seen a sharper increase from $3.67 to $5.90 per gallon.

## Impact on Consumers and Economy ### Winners, Losers & Uncertainty - **Losers:** U.S. consumers directly bear the brunt of higher fuel prices, impacting disposable income. - **Indirect Impact:** The rising cost of fuel has ripple effects across supply chains, including agriculture, manufacturing, and transportation, potentially leading to broader inflation for goods and services. ### Risk Watch — Economic Spillover - The extended conflict and persistent high fuel prices could dampen consumer spending on other goods and services. - Increased transportation costs for food production and distribution may exacerbate food price inflation, particularly affecting lower-income households.

**Sources:** Al Jazeera English, Brown University’s Watson Institute for International and Public Affairs.

**Date:** Monday, September 7, 2026