Economists warn that soaring diesel prices, which have risen 68% to $6.32 per gallon since the start of the Iran war, will indirectly push up consumer prices across various goods. Royal Bank of Canada's Michael Reid stated this will disproportionately affect lower- and middle-income consumers. Moody's chief economist Mark Zandi estimates every $1 increase in diesel costs could raise overall inflation by 0.1 percentage points. Goldman Sachs projects food prices could cumulatively increase by 0.2 to 0.4 points in the coming months due to higher diesel costs.

In response, the Group of Seven nations on Friday agreed to a "substantial release" of diesel stocks. Additionally, U.S. President Donald Trump signed an executive order on Monday to temporarily allow broader use of cheaper red-dyed diesel to help lower fuel costs. The price surge is primarily attributed to the Iran war curbing oil supply and damaging refining infrastructure, along with Russia's war in Ukraine impacting Russian diesel exports.