DEARBORN — Amid ongoing production disruptions and rising energy costs tied to the Iran crisis and the continued closure of the Strait of Hormuz, the average price of diesel fuel in Michigan surpassed $6 per gallon last Sunday, reaching the highest level ever recorded in data tracked by the AAA.

Although diesel prices later dipped slightly below the $6 mark, the dramatic surge intensified concerns among Michigan consumers over the possible return of runaway inflation, particularly if fuel and transportation costs continue to rise and push up the prices of consumer goods across the economy.

According to the U.S. Energy Information Administration, diesel fuel powers trucks, trains, buses, boats and agricultural and military vehicles, in addition to backup generators used by hospitals and industrial facilities, making diesel prices critical to large sectors of the economy.

AAA data showed that Michigan’s average diesel price jumped by roughly 90 cents in just one week, reaching a record $6.013 per gallon on May 4, compared to approximately $3.48 per gallon one year earlier.

At the same time diesel prices crossed the $6 threshold, the average price for regular unleaded gasoline in Michigan climbed to $4.86 per gallon, marking an increase of about 85 cents in a single week.

Michigan’s all-time gasoline price record, however, remains the $5.22 per gallon average recorded on June 11, 2022.

Nationally, California posted the highest average price for regular gasoline last week at $6.01 per gallon.

In addition to rising global oil prices linked to the Strait of Hormuz crisis, Patrick De Haan, head of petroleum analysis at GasBuddy, said production disruptions at BP’s Whiting refinery in Indiana were among the primary reasons behind the sharp increase in prices earlier this month.

Meanwhile, Mark Zandi, chief economist at Moody’s Analytics, said gasoline prices are unlikely to fall below $3 per gallon this year unless the U.S. economy experiences “a major economic shock such as a recession.”