This is the reason why wildfires in Canada could increase gas prices in the U.S.

As wildfires rage across Canada’s western provinces, the smoke isn’t the only thing drifting south. A wave of shutdowns in Canadian oil production is now threatening to nudge U.S. gas prices upward, and if the fires worsen, your summer fill-up might soon get more expensive.

How many problem wildfires are there?

At the last count, 103 fires were out of control, mostly in Alberta, which isn’t just home to vast forests but also some of Canada’s largest oil fields.

Roughly 350,000 barrels per day of heavy crude oil – about 7% of national output – have gone offline, Bloomberg reported. That might not sound like a big hit globally, but here’s the catch: Canada supplies about 25% of the crude oil used in U.S. refineries, and a lot of that oil is the heavier kind that American refineries in the Midwest and Rocky Mountains are built to process.

What happens when that heavy crude gets choked off?

Speaking to Independent, GasBuddy’s Patrick De Haan said that refineries can handle short disruptions, but if shutdowns stretch longer than a week or two, you could see price spikes - especially at stations west of the Mississippi.

Companies like Cenovus, MEG Energy, and Canadian Natural have all paused operations. That adds volatility to a system that’s already juggling wildfire evacuations, smoke-filled skies, and strained infrastructure.

At the time of writing, the average gas price in the U.S. sits at $3.146 per gallon, but if Alberta’s oilfields stay offline, don’t be surprised if that number edges upward. While you may not smell the fire when you next go to the pump, it could well still burn your wallet.

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