DETROIT — One month after maritime traffic through the Strait of Hormuz was restricted due to the U.S.-Israeli war on Iran, the ripple effects of the global shipping crisis continue to weigh heavily on Americans’ daily lives — including residents of Michigan, who are facing sharp increases in fuel prices and soaring fertilizer costs burdening farmers at the start of the planting season across the Great Lakes State.

Amid ongoing geopolitical instability and the continuing war with Iran, concerns are mounting that these inflationary pressures will persist, directly impacting consumers’ purchasing power, as markets await stabilization in global supply chains and improvements in international trade conditions.

Farmers feel the pressure

According to a report by Fox 2 Detroit, the owner of a large nursery in Monroe County, in southeastern Michigan, said farmers who purchased fertilizer last fall are now in a much stronger position than those buying at the start of spring.

Ron Stadler, who operates Stadler Farms — spanning approximately 100 acres in Monroe — said he was relieved he locked in fertilizer prices last fall.

“If you don’t do that and wait till spring to buy your fertilizers and stuff, then it’s going to be significantly more,” Stadler said.

In Ida, also in Monroe County, farmer Brad Kamprath, who cultivates about 1,000 acres of corn, soybeans, wheat and hay, said fertilizer prices had already risen by 30 to 40 percent before the war on Iran began.

He said his locked-in price in 2025 was $240 a ton, but that fall he paid $370 a ton for the 2026 season. Now, he said, the same fertilizer costs as much as $480 a ton.

However, the Strait of Hormuz crisis has pushed prices even higher. The strategic waterway serves as a vital artery for roughly one-third of global fertilizer trade shipped by sea — particularly nitrogen-based fertilizers such as urea and ammonia.

Sharp price increases

Farmers say these increases add up quickly when applied across hundreds or thousands of acres, especially with diesel prices rising by about 30 percent — significantly increasing equipment and transportation costs and signaling higher agricultural product prices ahead.

Kamprath and Stadler said that these rising costs will ultimately be passed on to consumers, particularly if fertilizer prices continue climbing throughout the planting season.

Farmers also emphasized that fertilizer is not the only concern. Transporting goods from farms to store shelves now comes with additional costs, which are reflected in the final prices paid by consumers.

Fuel prices surge

Alongside rising global oil prices, Michigan residents — like consumers across the United States — are facing a sharp surge in fuel costs.

The national average price for regular gasoline surpassed $4 per gallon last week for the first time since 2023, raising concerns about continued spikes in oil prices.

The increase is not limited to gasoline. Diesel fuel, used in trucks, heavy transportation and agricultural equipment, has climbed to $5.45 per gallon — an increase of more than $1.80 compared to the same period last year.

This surge is fueling concerns that higher transportation costs will ripple through the economy, pushing up prices for goods and services.

Broader economic impact

Energy market analyst Andy Lipow told NBC News that American consumers are already feeling the price shock — both at gas stations and in airline ticket prices due to rising jet fuel costs.

He warned that the most significant impact will come later, as higher diesel prices filter through supply chains and into the cost of goods.

According to AAA, the average price of regular unleaded gasoline in Michigan has hovered around $4 per gallon for nearly two weeks, while diesel has exceeded $5 per gallon.

This sharp increase occurred over a very short period. Just one month ago, Michigan drivers were paying an average of $2.80 per gallon for regular gasoline and $3.70 for diesel.

Risk of further increases

Despite the surge, prices have not yet reached the record levels seen after the outbreak of the Ukraine war in 2022, when gasoline averaged $5.22 per gallon and diesel approached $6 per gallon.

However, experts warn that the ongoing Strait of Hormuz crisis could push prices to new record highs in the coming weeks if disruptions persist.