US diesel prices hit record high as Iran war disrupts fuel flow
The Iran war is disrupting fuel flows, tightening diesel supply and pushing prices higher.
Source →The trace
How it reaches your house.
Starting from Freeport LNG Development LP, we walked the supply graph hop by hop to the goods you buy and the companies you own. Each step is the engine’s reasoning, scored for confidence and cited where a source backs it.
First impact
QatarEnergy (Qatar Energy) →Shortage riskLNG supplies to Asian buyers
QatarEnergy extended force majeure on LNG supplies to European and Asian buyers, directly constraining shipments into Asia.
“QatarEnergy has extended force majeure on liquefied natural gas supplies to European and Asian buyers by another month, deepening the global LNG disruption caused by the Strait of Hormuz crisis.”
91% confidenceCited →QatarEnergy (Qatar Energy) →Prices riseAsian LNG prices
Qatar is a major LNG supplier into Asia, and the cited market disruption is accompanied by a sharp Asia-wide price increase.
“Qatar supplied nearly half of India's LNG imports. After the Iran war shut the Strait of Hormuz, gas prices in Asia have doubled while US prices fell.”
82% confidenceCited →Hop 2
Natural Gas (Roasting Fuel) →Prices riseNatural gas is a critical roasting fuel for coffee, so surging LNG/gas prices pass through directly into higher coffee production costs.
96% confidenceNatural Gas (Pipeline-Grade, >95% Methane) →Prices riseResidential electricity is highly dependent on natural gas, so LNG-driven gas tightness feeds through to higher power prices.
87% confidenceNatural gas wellhead production →Prices riseTighter LNG supply and higher risk premiums transmit into more expensive natural gas for end users.
Hop 3
Electricity (residential) →Prices risePower Generation
Residential electricity supply depends on the power-generation step, so LNG-driven fuel tightness raises generation costs and feeds through to higher power prices.
77% confidenceNatural gas (home) →Prices riseLNG peak-shaving and import facilities
Asian LNG tightness and risk premiums make LNG imports and peak-shaving services more expensive, and this home-gas node depends on those facilities for supply.
68% confidenceCoffee →Prices easeIf higher roasting-fuel costs squeeze coffee output, roasters buy less Arabica green coffee, so demand and price for this critical input soften.
Hop 4
LNG peak-shaving and import facilities →Stands to benefitConstellation Energy (Everett LNG)CEG
Asian LNG tightness and higher risk premiums make scarce peak-shaving/import capacity more valuable, and Everett LNG is a sole-qualified, hard-to-replace asset with a very long replacement lead time.
74% confidenceLNG peak-shaving and import facilities →Stands to benefitChart's 60% share and 36-month lead time point to a dominant specialized supplier that should gain if tighter LNG markets spur more terminal and peak-shaving investment.
72% confidenceLNG peak-shaving and import facilities →Stands to benefitHop 5
New Fortress Energy Inc. →Prices riseLNG peak-shaving and import facilities
Asian LNG tightness raises the cost of securing LNG through this input, and the edge is hard to replace given low substitutability and a 60-month replacement lead time.
74% confidenceAir Products and Chemicals, Inc. →Prices riseLNG peak-shaving and import facilities
Air Products depends on LNG peak-shaving/import facilities, and the LNG price spike tightens and makes those services costlier, with low substitutability and a long 24-month replacement lead time.
62% confidenceLinde Engineering (Linde plc) →Stands to benefit
Where it lands
What you buy, and what you own.
Goods you buy
Coffee · Electricity (residential) · Natural gas (home)
In the MyPRIA app, this is checked against your own holdings.