Colonial Pipeline announced that it has turned on systems to resume fuel delivery to the US East Coast. The company expects that it will take several days for its supply chain to return to normal.
The six-day pipeline shutdown, the result of a ransomware attack on Friday, led to panic buying at the gas pump and reported shortages in many states, as well as higher prices.
In addition to price increases at the pump, charter rates for oil tankers rose in the last few days, as US refiners booked tankers to store fuel. Traders had also booked tankers to ship gasoline and diesel from Europe.
In response to the shutdown, President Biden emphasised the need to invest in infrastructure, noting, “that’s one of the many things my American Jobs Plan is designed to do.”
Likewise, Transportation Secretary Pete Buttigieg on Monday said, “Having excellent, modern infrastructure has always been a national security issue. This is one more reminder that infrastructure in the US means a lot more than roads and bridges.”