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Cobb County diesel costs near $5 a gallon
A Cobb County trucking company operating for over 40 years reports a 33 percent surge in diesel expenses since conflict began.
COBB COUNTY, Ga. - Rising fuel prices are putting new financial pressure on Georgia trucking companies as diesel costs continue to climb.
What we know:
The national average for a gallon of gas has climbed back to about $4, up 13 cents from a week ago, while diesel prices are approaching $5 a gallon, according to AAA.
For trucking companies, the increase is forcing business owners to find ways to cut costs.
Joe Pavuk owns Preferred Transport & Distribution in Cobb County and has been in the trucking industry for more than 40 years.
The company employs about 70 drivers who transport products across the country.
What they're saying:
General Manager Parker Pavuk said filling one of the company's trucks has become significantly more expensive.
"This truck holds about 250 gallons, and at today's price, about $5 a gallon, it costs somewhere around $1,200 to $1,300 to fill this truck," said Parker Pavuk, general manager of the company.
Company leaders say diesel prices have increased nearly 33% since the conflict involving Iran escalated, creating additional challenges for the business.
"Everybody is struggling, all the way from mom and dad buying fuel at the gas station," President Joe Pavuk said.
To offset rising costs, the company has asked drivers to reduce fuel consumption by limiting unnecessary idling and making other operational adjustments.
"In a perfect world, a driver would like to leave the truck running during deliveries or overnight for air conditioning," Joe Pavuk said. "But we've got to improvise and cut where we can. We've got to make adjustments."
The higher operating costs are also affecting customers.
Pavuk said transportation companies often pass increased fuel expenses on to their clients, who may then raise prices for consumers.
"We make adjustments," Pavuk said. "We've been here more than 40 years, and it's not the first time we've seen this."
Even with decades of experience navigating fuel price spikes, company leaders say balancing rising expenses remains a challenge.
"It's just constantly juggling all of the expenses, trying to pay our drivers more because everything costs more in the store," Parker Pavuk said. "It's a constant juggling act."
What we don't know:
It remains unknown how high diesel and gasoline prices will rise before stabilizing.
It is unclear how much client businesses will increase prices for retail consumers to offset higher shipping costs.
It remains unknown how long the conflict involving Iran will continue to impact diesel supply and pricing.
The Source: The information in this story was gathered from Preferred Transport & Distribution leadership, who explained how rising diesel costs are impacting company operations and drivers, as well as AAA.