Arizona businesses are facing strain as gas prices surge

As gas prices remain high across the state, local businesses are beginning to feel the impacts on their operations. The average price per gallon of diesel across the state has risen over $2.40 since 2025.

Billy Itule is the CEO of Willie Itule Produce, and he said his company has been forced to streamline its operations.

“I think that businesses of all sizes, whether you're operating 60 trucks or six trucks, this affects the bottom line significantly," Itule said. "And you really have to make sure you're optimizing everything. You're communicating with customers what to expect. ”

Itule said similar price increases over past few years were more manageable due to their slower rise. He said this year the quick increase made it more difficult to adjust. Itule said gas price increases ultimately impact the consumer.

"We're optimizing our routes to make sure that we're not wasting an ounce of gas at this point because it's so expensive," Itule said. "So making sure that we’re still meeting what our customers need. That's the most important thing, ensuring that our customers are satisfied."

Arizona State University professor Hitendra Chaturvedi said even if the war with Iran stops today, prices will continue to rise for consumers and local businesses.

“Small businesses are suffering. They are also being hit by the burden, but what's happening is that they're passing on the price rise of the input products over to the consumer,” Chaturvedi said.

Chaturvedi said supply chain issues tend to lag behind world events, and he expects prices to continue to increase this summer.