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With gas prices rising in Michigan and U.S., what other items could rise amid war with Iran?

By
Heath Kalb
Heath Kalb
Heath Kalb joined the CBS News Detroit team in September of 2024 after spending two years at the NBC affiliate in Springfield, Massachusetts.
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Heath Kalb

/ CBS Detroit

Drivers across Metro Detroit continue to see higher prices at the pump. And the escalating war in Iran is worrying some that higher prices across the board will soon follow. 

"It's very frustrating because I don't like these gas prices, and I want them to go down. I hate the war, and I want the war to end," said Aywon Williams from Detroit.

It now costs an average of over $3.60 for Michigan's motorists for a gallon of gas, which is around 20%  higher than it was just 12 days ago when the war in Iran began. 

But experts like Kevin Ketels, an associate professor in Global Supply Chain Management at Wayne State, say that the costs of food, housing, clothing, and more should soon be, if not already, on the rise as well. 

"So there is a very large ripple effect, you simply can't avoid it when 20 percent of the World's crude oil comes out of this part of the world," said Ketels.

Ketels says if crude oil's price continues to climb because of the Strait of Hormuz being under attack, so will the prices of most widely used products, because of the need for crude oil, which keeps equipment, delivery trucks, airplanes, and more running.

"And that cost is almost immediately being felt by us, by everyone globally and it will be reflected in higher prices in anything that requires transportation," Ketels said. 

Theo Pinson from Southfield told CBS Detroit he's seen increasing costs all over the place. 

"Food and everything, I just came over here from Meijer, and everything is sky high," Pinson said.

It's uncertain when the war against Iran will end, but experts say it will take time to smooth out supply chain disruptions, even when it does, so price increases could persist for weeks or even months.

"What's had to happen in the Middle East is that they've had to shut down production because there's nowhere to put all the oil, so when you shut down production, it takes time to get everything restarted," said Ketels.

President Trump has said that rising gas prices are a very small price to pay for the U.S., the world and peace. 

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