Diesel Prices Slightly Down in Latest Weekly Report

Diesel Prices Slightly Down in the Latest Report

Diesel prices dropped again this week, giving a small break to truckers and fleets across the country. According to the latest EIA data for the week ending October 20, 2025, the national average retail on-highway diesel price fell to $3.62 per gallon, down 4.5 cents from last week. Regular gasoline also declined, averaging $3.02 per gallon, a decrease of 4.2 cents.

Both diesel and gasoline prices moved lower as fuel demand eased and inventories shifted. The market continues to balance refinery output with transportation fuel needs.

Diesel Prices by Region

The U.S. average for diesel price masks wide regional gaps. The West Coast remains the most expensive area, with prices around $4.42 per gallon outside California and nearly $4.90 inside the state. The Gulf Coast posted the lowest regional average at about $3.26 per gallon.

These differences reflect each region’s taxes, supply chains, and refinery costs. Despite the current dip, diesel prices remain about 6.7 cents higher than this time last year. That means operating costs for truckers are still above 2024 levels even with this week’s relief.

For owner-operators and fleets, small drops in the diesel price can add up over time. Lower fuel costs help balance tight margins, especially as freight demand shifts with seasonal patterns.

Gasoline and Fuel Trends

While diesel prices draw the most focus in trucking, gasoline prices also influence transportation expenses. The national average for regular gasoline dropped to $3.02 per gallon, down 4.2 cents from last week and 12.5 cents lower than a year ago.

The Lower Atlantic region recorded one of the biggest weekly decreases, falling more than 6 cents to $2.79 per gallon. The West Coast again led as the priciest region, averaging about $4.17 per gallon.

Lower gasoline prices may not change freight rates directly, but they can ease overall logistics costs for support vehicles, local deliveries, and warehouse operations.

Supply and Production Affect Diesel Prices

Behind the recent move in diesel price are shifts in refinery runs and inventory levels. U.S. refineries processed about 15.7 million barrels of crude oil per day during the week ending October 17. That was slightly higher than the previous week.

Distillate fuel production, which includes diesel, rose to 4.6 million barrels per day, up about 40 thousand barrels per day. However, distillate inventories fell by 1.5 million barrels and now sit about 7 percent below the five-year seasonal average.

These tighter supplies help explain why diesel prices remain higher than last year. Gas inventories also slipped slightly, keeping the overall fuel market tight as fall demand continues.

What Lower Diesel Prices Mean for Trucking

The small drop in diesel prices offers a modest win for the trucking industry. Every cent matters when trucks consume hundreds of gallons each week. If prices keep sliding, fleets could see some relief in operating costs.

Still, with inventories running low and crude prices steady, volatility may return. Seasonal demand or refining outages could push diesel prices higher again before winter.

For now, truckers can expect temporary relief but should plan budgets with caution. Monitoring diesel prices weekly remains essential for fuel surcharge planning and expense control.

In summary, diesel prices dropped slightly this week to $3.62 per gallon, while gasoline also moved down. The decline brings mild relief, but the tight distillate supply keeps pressure on the market. Trucking companies and drivers continue to watch diesel prices closely as the fall season progresses.