US-Iran War Drives Gas Prices to Record High in Mid-August
Gas prices are on the rise in Oregon and across the country as tensions between the US and Iran continue to escalate. The national average price for regular gasoline increased by five cents over the past week, reaching a record high of $4.07 per gallon for mid-August.
Oregon's average gas price also rose by five cents to $4.72 per gallon, its highest mid-August price since 2022 and the second-highest on record for the state.
According to Marie Dodds, public affairs director for AAA Oregon/Idaho, elevated crude oil prices are keeping pump prices higher than normal for this time of year. Crude oil prices have been above $80 since August 10 due to the ongoing war and the continued closure of the Strait of Hormuz.
The Strait of Hormuz is a critical waterway that connects the Persian Gulf to the Gulf of Oman, through which about 20% of the world's oil and refined products flow. The closure has significantly restricted shipping traffic, with only about half the normal number of ships passing through the strait.