From what I understand , diesel is actually more unrefined than gasoline. Also trailor trucks run on it. With its price being doubled, transportation costs for shipping should increase some 20 to 40%. This is just as crippling as the Fuel Embargo and should be felt in the economy soon. Is this really an oil company whim? there must be a technical reason for the price doubling--when will it come down?

The big oil cartel in the Middle East began to curtail production last year to drive up crude oil prices. So far, none of them have broken ranks to up production. As long as they keep production low, prices will stay high. It's the old supply - demand curve at work.

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Bill Wood - Webmaster
MercedesShop.com, LLC

This is my 7th diesel, my first was back in 85.

In 1985 diesel was around 39.9 cents a litre

In 1999 it was around 49.9

Today it is 69.9

$3.50 per gallon or so.....

It is much cheaper to produce than Gas, I dont have the answer, but yes the price will go on to the consumer, we already hiked our prices by 5 cents per km we charge to our customer.

maybe electric is the way to go......

nope, those prices went up to......

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Chris Ecklund
98 300 DT

Prices out here in AZ haven't changed much on diesel - still about $1.35/gal. What I do know is that there was a study done by the city of Phoenix last year that showed that diesel vehicles account for about 30% of the cars and trucks on the road (lots of construction going on out here), but they contribute almost 70% to the airborne particulates. Environmental taskforces haven't lobbied loudly for higher prices that I know of, but I'm sure they have had some effect. Regular gas prices do increase by about $.10-.15 every winter to combat pollution out here - our air is getting as bad as LA's! While the impact of crude oil suppliers can't be denied, I'm wondering if a similar negative view of diesel's effect on the environment may be "fueling" the price increases in other areas?

This thread does not feel like it belongs under the heading Mercedes - Shop Forum - Tech Help. Not trying to be bossy and am certainly not the list owner, but this forum is so great I hate to see its resources used up by non-tech discussion. :)

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Kent Christensen
'88 300E (wife's)

In S.F. 1.59 to 1.75 per gal.
TECH TIP: Get REDLINE it works !
(see parts shop)

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1979 300D
133K miles
1989 300SE
1995 C280