Canada Diesel Prices Hit Record $2.64 Per Litre
Retail diesel prices in Canada reached historic highs due to supply disruptions caused by the closure of the Strait of Hormuz.
Natural Resources Canada reported that retail diesel prices reached a historic high of $2.64 per litre on September 29, 2026. This price represents a 60 per cent increase from levels seen before the Iran war and exceeds the previous record highs set in 2022 by 15 per cent.
The surge follows seven months of restricted energy output and reduced production at crude distillation facilities caused by the closure of the Strait of Hormuz. These supply disruptions have triggered broader economic volatility, including freight railway fuel surcharges for October that are up to 73 per cent higher than early August levels.
Economic warnings indicate the pricing spike will increase the cost of food, clothing, and construction materials. These pressures are expected to intensify as diesel demand rises with the approach of winter.
