Fox News
Expand
Browse All Video
Watch Live

You're watching...

Energy in America: diesel

Details

  • Description

    Supply and demand driving increased price?

  • Duration 2:33
  • Date

Clips

Also in this playlist...

Latest News

Auto-advance: ON

Auto-advance
View All

Transcript

This transcript is automatically generated

Gas prices taking another step back from their highs according to triple -- the average price for a gallon of regular unleaded is now 375.

That's a nickel cheaper than it was a week ago but if -- diesel vehicle.

You may remember you used to be able to fill up for less than the price of a traditional gas model not anymore -- David Lee Miller is live -- a New York City gas station.

Hi David how popular are these diesel cars.

Well -- and it looks like this is back to the future.

There has been an increase in the sales of diesel cars currently diesel sales account for about.

2%.

Of the total market not very much that's when you compare it to Europe where.

Diesel cars being sold -- about 50% of the market.

But over the last few years foreign manufacturers have been importing their diesel cars to the United States and they State's sales have -- Take Volkswagen for example they -- diesel sales have increased in the last year about 35%.

US auto -- currently do not make any diesel cars that is expected to change in 2013.

And even though diesels get about 30%.

Better mileage.

They are more it is more expensive to buy the fuel and oil analyst explains why.

Diesels more expensive because global demand is a little bit closer to global supply and it's actually the toughest petroleum molecule to produce.

Nationally and internationally.

You have to remove almost every vestige of sulfur from the diesel molecule and then that takes some money to do.

One analyst we talked to also said that sales of -- that they continue to -- Interestingly could -- into the hybrid and electric car market people who simply wanna lower the cost of there miles per gallon -- -- -- And so -- diesel car sales increase -- diesel fuel go up as well.

It is highly unlikely that diesel fuel in the United States is going to increase even if sales of diesel cars here.

Increased two or three -- even more so the reason for that it's very simple the US now currently exports.

In excess of a billion a million gallons of diesel every day one million gallons of diesel every -- -- we are currently.

Refining more diesel -- we can't use and that is very important because.

Heavy trucks use diesel almost exclusively.

-- if diesel costs were to spike upward the fuel.

Could affect consumer goods but that is not likely to happen -- -- right David Lee Miller reporting live for us banks and -- -- --

Load More