United States: in one year, gasoline prices soar and reach record highs

This Saturday, June 11, in the United States, fuel prices have reached new heights. (©AFP/Archives/Frederic J. BROWN)

The price of gasoline at the pump rose, this Saturday, June 11, for the first time above the threshold of 5 dollars on average per gallon of super (3.78 liters) in the United States, according to data from the American Automobile Association (AAA).

This level, a record, is fueling inflation and represents bad news for Joe Biden a few months before a crucial election deadline.

Dramatic increase

The average price of a gallon of gasoline, which was $3.077 a year ago, has therefore since soared by 62%. The current price corresponds to 1.25 euros per literAmericans being accustomed to less taxed and less expensive gasoline than in Europe.

This increase comes in the wake of the rise in oil priceswhich had collapsed at the start of the pandemic due to a lack of demand, but recovered as economic activity resumed.

They especially jumped after the invasion of Ukraine by Moscow at the end of February and the establishment of sactions against Russia, a major producer of black gold. A barrel of crude is currently trading at more than $120 in London and New York.

According to figures released Friday by the US administration, energy prices as a whole soared 34.6% in May compared to May 2021.

Overall price increase

This surge helped fuel the general rise in consumer prices in the United States, which rose by 8.6% year on year in Maya record in 40 years.

Videos: currently on Actu

As the season for major car trips for the holidays approaches and while Americans often favor fuel-guzzling models, the increase in prices at the pump will affect even more the budget of motorists, who must also in front of the rising food prices (+10.1% in May), housing, cars and even medical care.

This complicates the position of Joe Biden, who has been repeating for several months that his administration is doing everything possible to bring down prices without slowing down economic activity and must face in a few months the mid-term elections, which will renew a large part of the elected members of Congress.

On Friday, the American president once again attacked the American oil industry, which he warned against “using” the situation in Ukraine “to make things worse for families, make excessive profits or drive up prices”.

Source: © 2022 AFP

Was this article helpful to you? Note that you can follow Actu in the My Actu space. In one click, after registration, you will find all the news of your favorite cities and brands.

Leave a Comment