Gasoline prices in the United States have reached a record high of US4.17 a gallon, CNN is today (March 8) reporting.

The price for a gallon of regular gas now stands at $4.17, according to the American Automobile Association (AAA).

This breaks the previous record of US$4.11 a gallon that has stood since July 2008.

US drivers have never paid this much for gasoline. The US$4.17 average means that the price is up 55 cents a gallon in just the last week, and 63 cents, or 18 per cent, since February 24, the day Russian forces invaded Ukraine.

As Russia continues its military offensive in Ukraine, gas prices are rising faster than they have since Hurricane Katrina slammed into oil platforms and refineries along the Gulf Coast in 2005. Gas prices rose 10 cents since early yesterday, gaining three of those cents overnight, according to the Oil Price Information Service, the firm that collects and calculates prices for AAA.

Gas hike won’t be stopping anytime soon

Gas price spikes won’t be stopping any time soon, said Tom Kloza, global head of energy analysis for the OPIS. “I think we’ll hit $4.50 a gallon before it turns around,” said Kloza.

“The risk is how bad this gets, how long this goes on. Even $5 a gallon nationwide is possible. I wouldn’t have predicted that before the fighting started,” he added.

Russia is one of the world’s major oil exporters, with most of its output going to Europe and Asia. Russian oil made up only two per cent of US imports in December, according to Energy Department data.

The sanctions placed on Russia’s economy following the invasion have so far exempted oil exports. But traders have been reluctant to purchase Russian oil because of sanctions on the country’s banking sector.

Many are also worried about finding oil tankers willing to dock in Russian ports. The Biden administration said it is mulling a US ban on Russian oil imports.

That probably would have limited impact on global or domestic prices since so little is being shipped to the United States. However, there is pressure building for a formal Russian oil ban by European countries and Japan.

If that happens, or if Russia itself were to halt oil shipments to retaliate against Western sanctions that would have a greater impact on global oil markets.