Diesel evolution

Diesel evolution and its impact on road freight transport

The current energy situation shows increasing trends in fuel prices, in particular diesel. This situation, driven by several factors, results in significant effects on the general economy and especially on the transport sector.

Diesel has long been the fuel of choice for road freight transport due to its efficiency and cost. However, the recent period has seen fluctuations that reflect not only economic but also geopolitical and environmental factors.

Recently, we have seen a price increase of close to 10% in just two weeks. One of the factors contributing to this spike has been the end of subsidies and increased mobility in high demand months such as August.

In addition to these factors, the dollar/euro exchange rate has played a crucial role in many regions. Its fluctuations significantly affect the cost of importing crude oil and related products. When the dollar strengthens against the euro, these costs tend to rise.

Structural factors are also exerting pressure. Decisions by producing nations such as Saudi Arabia to limit oil extraction have created a scenario of reduced supply. This reduced availability translates into an increase in the cost of a barrel of oil.

In addition to these factors, the dollar/euro exchange rate has played a crucial role in many regions. Its fluctuations significantly affect the cost of importing crude oil and related products. When the dollar strengthens against the euro, these costs tend to rise

How road freight transport is affected

The road haulage sector is inherently sensitive to fluctuations in fuel prices. The progressive rise in fuel prices has consequences:

An increase in the price of diesel immediately implies an increase in the operating costs of transport companies.
It can affect the competitiveness of companies, especially those that do not have strategies in place to mitigate these increases, such as long-term contracts and/or a diversified portfolio of suppliers.
Companies could reconsider their routes and frequencies to optimise fuel consumption. This may result in changes in delivery times and logistics efficiency. Companies could reconsider their routes and frequencies to optimise fuel consumption. This may result in changes in delivery times and logistics efficiency.
In the long term, a high price scenario could accelerate the adoption of more efficient vehicles or powered by alternative energy.

Diesel and its price evolution is a factor that undoubtedly shapes the operation of road freight transport. Despite the challenges it presents, companies like Ibertinsa demonstrate that with innovation and a commitment to constant improvement, it is possible to continue offering valuable solutions in this changing scenario.