Los Angeles truckers agonize over $8 diesel prices

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Set us as preferred The economics of trucking are deteriorating fast — and it’s particularly bad in California.Fresno-based Jagroop Singh Deol operates two gas-guzzling rigs.One hauls refrigerated produce from California to the Midwest and brings back pet food, meat and auto parts.

He drives another truck himself that transports goods for Amazon.At the start of the year, a full tank of gas cost $1,000.Now, Deol pays over $1,600.

His business is bearing the brunt of California’s record diesel costs, which are 32% above the national average.“We’re not making money,” Deol said.“Trucking isn’t a stable business.”In his two-decade career, Deol’s fortunes have ebbed and flowed.

The 2008 recession reduced him from an owner to a driver, whereas the 2020 pandemic boom made him millions.Now, he is hunkering down again, downsizing his fleet from five to two.

He says he may have to leave the industry entirely if diesel prices keep rising.The average price of a gallon of diesel in California reached $8.35 this week, up more than 60% from a year ago, according to the American Automobile Assn.The national average was $6.32.Gas prices have been steadily rising all year, and truckers now pay $3 more than the average price a year ago.

The price increase trickles down to all goods sold across the economy.President Trump’s policies have run roughshod over the trucking industry.Just as the industry began recovering from a multiyear freight slowdown, the administration began cracking down on immigrant drivers earlier this year, exacerbating the impact from the erratic tariff announcements.

It has taken the biggest hit after the war with Iran sent gas prices soaring, hurting the beleaguered industry that hauls 70% of all freight in America.To temporarily relieve price pressure, the Group of Seven wealthy nations on Oct.

2 agreed to release 100 million barrels of emergency oil reserves over the next four m...