As gas prices continue to rise in the US, analysts are pointing to how high the prices are in Europe to try and calm consumer rage.

In Europe, many countries, including Germany, France, Italy, Spain and the United Kingdom pay more than $7 to $8 per gallon to fill up. In Hong Kong, gas costs $11 per gallon, while in Norway, it is more than $10.

Peter McNally, Global Sector Lead for Industrials, Materials and Energy at Third Bridge said, “European energy prices of all kinds are higher than what consumers in the U.S. pay. This was the case before 2022, but it has only become wider since.”

The bulk of the increased price is due to heavier government taxation, however another factor is that Europe uses Brent Crude to produce gas, and it trades at a premium over the West Texas Intermediate which is used in the US.

McNally added, “Not only do refiners in Europe pay that premium for crude oil feedstock,” , “but they generally have higher operating costs than the refineries in the U.S.”

However on the other end of the spectrum are countries like Venezuela, Iran, and Libya, where gasoline costs between 8 and 20 cents per gallon.

Many expect gas prices to drop soon, however. Andy Lipow of Lipow Oil Associates wrote in a note, “Rising interest rates around the world is going to hit the consumer’s pocketbook. I think it will result in additional demand destruction and lower prices.”

AAA has noted, already gasoline has dropped 2 cents from its record high earlier last week.

Lipow said, “I am forecasting that gasoline prices will drop 5 cents per gallon in the next 7 days to $4.95 and with any luck another 5 to 10 cents after that. Gasoline futures prices are well off their highs.”

However diesel may not have seen its peak yet. Lipow added, “Diesel is the refined product that is in the shortest supply around the world.”