ATLANTA — Oil and natural gas prices continue to climb as the Middle East conflict nears a fourth week, raising concerns about the impact on the global economy and businesses in Georgia.
The rising cost of diesel is a major concern for Georgia Chamber President and CEO Chris Clark, who says many businesses rely on diesel-powered trucks to deliver goods.
“This could really cause some more problems at a time where a lot of Georgia businesses, small businesses in particular are still struggling with affordability and trying to overcome the tariff whiplash that we’ve seen this last year,” Clark said.
Clark says higher diesel prices could lead to increased costs for consumers as businesses pass those expenses along.
“Everything that we buy, sell, and trade is dominated by diesel; and so you’re going to start seeing that in grocery stores and on the Walmart shelves before long,” Clark said.
He says some business owners are already feeling the impact.
“They’re already seeing it and how they’re having to adjust prices because they’re heavy fuel companies small businesses--I talked to one yesterday that was talking about how he’s going to have to raise the price on his customers because of how much he’s having to pay now,” Clark said.
Clark says the economic impact could worsen if the conflict continues.
“We are worried about what that looks like and if that’s a prolonged war you’re going to see that impact,” Clark said.
With missiles and drones now hitting gas and energy infrastructure in the Middle East, there are growing concerns about how high fuel prices could climb.
Georgia lawmakers are considering a 60-day suspension of the state’s 34-cent per gallon fuel tax to help provide relief at the pump. The State House has approved the measure, and it now heads to the Senate.
The last time the tax was suspended was in 2024, when Governor Brian Kemp ordered the pause in response to Hurricane Helene.
WSB Radio’s Jonathan O’Brien contributed to this story.