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Gas Prices Surge Again, Now $4.39 a Gallon; Surging Fertilizer Prices Add to Financial Drain on U.S. Farmers; "Chonkers" the Sea Lion Draws Crowds at San Francisco Pier 39. Aired 3:30-4p ET

Aired May 01, 2026 - 15:30   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

[15:30:00]

JESSICA DEAN, CNN HOST: Prices at the pump jumping again. The national average now $4.39 a gallon. That's up nearly a dime in the last 24 hours. It's now the highest since the start of the Iran war.

It means Americans are now just 63 cents shy from an all-time record high. That's when Russia's war on Ukraine spiked the national average to over $5 in June of 2022. Drivers in roughly nine states, the ones you see right here in red, are either already paying or close to paying that today.

CNN's Gloria Pazmino is live at a gas station in New York, which is not quite in the red. It's in yellow right now, but not far behind. Gloria, what are people telling you?

GLORIA PAZMINO, CNN CORRESPONDENT: That's right. It is expensive than a lot of other places around the country. And no one is feeling it more than drivers who, frankly, Jessica, are very frustrated because they told me all day today that they just simply feel like they don't have a choice, right?

I spoke to many people who, in fact, make a living by being behind the wheel. They drive delivery or they drive cabs. They drive for companies.

And they told me that they don't have a choice. I spoke to a woman who was leaving her night shift early this morning on her way home. She stopped here at this gas station but only purchased $10 worth of gas because that would get her enough across the bridge to gas up in New Jersey, where it's significantly cheaper or at least a little bit cheaper enough to make a difference.

[15:35:00]

I spoke to a man who told me it's costing him $180 to fill up his truck at least once a week. He makes a living by driving that truck around. So imagine just how much impact this is having on people's lives.

Some of them told me that they're rethinking summer vacations, summer road trips, and wondering if they're going to have to cut back in the next few weeks if prices continue to increase.

(BEGIN VIDEOTAPE)

GEO ANGELES, DRIVER: I don't think about it. I've got to do it. So it's whatever.

PAZMINO: Do you feel it in other parts of your budget, though? Are you suddenly spending less on, you know, going out or --

ANGELES: You know, you think twice of doing other things, obviously. You know what I mean? Like this 180 bucks got gone towards a Yankee game or you know what I mean? Something else. But yeah, its whatever at this point.

PAZMINO: Do you think that you're getting your moneys worth right now, or is this just way too much?

REGINA HARPER, DRIVER: I mean, I don't have a choice. This car used to cost me $25 to fill up. Now its going to 47 to $50.

(END VIDEOTAPE)

PAZMINO (on camera): So there's a bit of resignation among drivers as well. I spoke to a man who told me that he feels like they're paying the cost of this war right now. He feels like it's not fair to drivers. It's not fair to consumers. But he also told me that he knows eventually the prices will go down.

Now, let's talk about the numbers. As you said, the national average hovering around $4.39. Here in New York, we're looking at $4.69 for the regular gallon and $6.30 if you get the premium option. So certainly a little bit higher than a lot of other states around the country. California, over on the West Coast, they're seeing even higher prices.

Usually they see the most expensive prices around the nation. A lot of sticker shock here in New York City. And unfortunately, no sign that prices are going to be going down anytime soon as the conflict in Iran continues to escalate and there's no resolution in sight.

And experts agree that even if the conflict does end soon, it's going to take a while before prices can come down and stabilize again -- Jessica.

DEAN: Gloria Pazmino, thank you so much for that -- Boris.

BORIS SANCHEZ, CNN HOST: The decreased traffic on the Strait of Hormuz is also impacting American farmers who are feeling the squeeze from rising fertilizer costs. About one-third of the global fertilizer supply passes through the Strait. Earlier today, the head of Yara, one of the world's largest fertilizer companies, warned this war has put almost 10 billion meals a week at risk.

Let's discuss with the chairman of the American Soybean Association, Caleb Ragland. Sir, thanks so much for being with us. Talk to us about how first rising fuel costs are affecting farmers.

CALEB RAGLAND, CHAIRMAN, AMERICAN SOYBEAN ASSOCIATION: Well, fuel costs impact everything we do, whether it's fertilized, whether it's seed, whether it's delivering our crops that we grow and livestock to market. It has an impact on every single thing that we do, and it has an impact on everything in our economy. And it's certainly taking a already difficult economic situation that we were in in agriculture and putting us in a really severe pinch now.

SANCHEZ: And now when it comes to the production of fertilizer, some of the raw ingredients used, the raw materials used to make it come through the Strait. So how is that impacting you and your associates?

RAGLAND: Well, it's certainly putting us in a difficult spot. The Saudi Arabian market was currently the largest export partner that we had in the United States for phosphates. And now that is completely cut off.

China's number one. They quit exporting first of the year. And we also have some trade difficulties with Morocco and haven't purchased anything from them in about five years.

And now Saudi Arabia is cut out. And as you mentioned, about 35 percent of U.S. fertilizer is imported. And what this is resulting in is taking already high fertilized prices and is escalating them to record levels.

Fertilized prices are more than double what they were five years ago. And the prices we receive for our crops do not reflect these inflated costs of production. And on top of the increased cost, there's also becoming shortages of product.

And it's going to be a very touch and go situation here over the next couple months as the U.S. crop gets put out and seeing if we're able to make it to the finish line. I'm sure there will be some phosphates that simply don't get applied, which will result in some lower yields. Phosphate is a product that you have some flexibility on the amount you apply, but it's like your bank account.

Over time, you have to deposit if you're going to continue to withdraw.

[15:40:00]

So if you're going to raise good crops, you have to invest and fertilize the fertility in order to grow those crops. So the soil has to be fed.

Nitrogen, on the other hand, nitrogen is a direct basically give and take one-to-one ratio. And we're also dependent on imports of nitrogen through the Strait. And that product is becoming very short as well. And there's concerns whether we make it to the finish line getting this crop out before the pipeline is completely ran empty.

And so it's interesting times right now in agriculture, and we're just hoping we can make it to the finish line. But these costs are really putting us in a severe pinch.

SANCHEZ: Caleb, I feel like I just got a lesson in what it takes to raise crops, to put stuff in the ground to raise crops. Can you talk to us about what shortages you're anticipating? Because if there isn't enough nitrogen or phosphates in the ground and farmers are making out with less yield, I mean that directly impacts what gets on the dinner table for a lot of Americans.

RAGLAND: Well, I certainly don't think that here that we're going to have a huge shortage of food or anything like that. But more so what I'm referring to is it's kind of like deficit spending. You can get by for a while by borrowing money and using other means in order to keep the cash flow going.

But over the long term, we have to feed the soil and put the phosphates back. And right now they are so expensive, you can't afford to replace everything that's being removed due to the record high cost, and in some cases even not being able to get the phosphates in a timely manner. But over the long term, next year, this fall in 2027, we're going to have to replenish the stocks that we depleted.

And we have to have the infrastructure back in place. We need the Strait open. We need other options for sourcing the phosphates, for sourcing the nitrogen that is needed to grow the crop that we raise each year here in the United States.

And what I'm referring to is we're going to have to have a better plan in place for the long term because we're not on a sustainable trend for multi-years. We can get by this year, but it's the long term that we have to be concerned about because you don't snap your fingers and replace these depleted stocks. And we have to have a good plan in place for the long term or we will get into very difficult situations and have very difficult decisions to make deciding where to put the limited amount of resources we have.

So right now it's more of an economic situation that we can't afford due to the record high cost to put the complete needs. We're using a reduced rate for the short term with the hopes that we have a more competitive price here this fall and into 2027 so we can replace some of what we've removed that we didn't apply this year.

SANCHEZ: Yes, that's an important message for the folks making decisions here in Washington to hear. Caleb Ragland, we appreciate you bringing that to us.

RAGLAND: Yes, sir. Thank you.

SANCHEZ: Still ahead, one of these things do not belong. It's drawing huge crowds to California. How did Chonkers the sea lion wind up here in the first place?

[15:45:00]

(COMMERCIAL BREAK)

SANCHEZ: A large and lovable sea lion is drawing big crowds in California. That's because he's noticeably different than the others. Visitors at Pier 39 in San Francisco have given this guy the nickname "Chonkers." DEAN: But his curves aren't the only thing interesting about him. He has so much more to offer. Experts say he is one of two, at least two, steller sea lions that have been spotted in California waters this month.

That species typically doesn't travel so far south. Let's talk more about this with Adam Ratner. He's the Director of Conservation Engagement at the Marine Mammal Center. Adam, good to see you.

So Chonkers' charm lies in his size. He is an absolute unit if you will. Talk about him, the difference between him and his much smaller sea lion friends there at the pier.

ADAM RATNER, DIRECTOR OF CONSERVATION ENGAGEMENT, THE MARINE MAMMAL CENTER: Yes, steller sea lions are really why they get the name lion. These animals are massive. He's probably tipping the scale somewhere between 1,500 and 2,000 pounds. So the size of a small car.

He's twice the size of the other sea lions at Pier 39. Those are California sea lions, but they're also not small. Some of those animals are 800 pounds or so, but he's just towering over them.

SANCHEZ: Adam, your colleague Laura Gill told the New York Times that Chonkers likely slammed some 30 miles in from the Farallon Islands, that he's working smarter and not harder with his choice of hanging out there in the bay. Why do you think he wound up there and followed this path?

RATNER: So Pier 39 is home to lots of California sea lions, and I always joke that they come to Pier 39 the same reason why people go there. There's lots of good food, and there's lots of places to kind of hang around and socialize with people. And for Chonkers, the steller sea lion, he realized there's lots of good food.

[15:50:00]

So why not come over to where there's lots of anchovies, find a place to hang out, maybe cuddle with some other sea lions? It just makes sense for him to be there because it's a healthy place for him and a real testament to San Francisco Bay right now.

DEAN: Yes, they all seem very happy in this video. You have essentially a mini Chonkers named Wesley, I believe, in your care now. Tell us about Wesley and how he compares.

RATNER: Correct. So the Marine Mammal Center is the world's largest marine mammal hospital, and we actually got a phone call from folks up in Alaska where the steller sea lions are an endangered population. And they found a six-month-old pup all by itself, separated from its mom, and they realized it wasn't going to survive without help.

So a huge team of folks came together. They actually flew Wesley, the steller sea lion, down to our Sausalito Hospital. We've been taking care of him for the last five months.

He came to us at around 100 pounds. Five months later, he's sipping the scales at over 300 pounds, so truly a little Chonkers. And the hope is that he's going to be able to be released back out to the wild, help that endangered population up in Alaska really have a second chance.

DEAN: Oh, well, that's amazing and good to see him growing. Yes, we can all look to Chonkers at Pier 39, but good to know Wesley is also in excellent hands. Adam, thank you so much.

RATNER: Of course, my pleasure.

DEAN: Thanks. This Sunday, be sure to join Eva Longoria on her quest to discover the secrets of French cuisine and some of that country's finest wines.

(BEGIN VIDEOTAPE)

EVA LONGORIA, EVA LONGORIA, SEARCHING FOR FRANCE: Oh, yes, it's a cellar, cellar.

UNIDENTIFIED MALE: It is.

LONGORIA (voice-over): Loic supplies a handful of local restaurants, but this bijou operation is about pleasure over profit.

UNIDENTIFIED MALE: It's tiny, but there's enough space to make a little bit of wine.

LONGORIA: And what do you make?

UNIDENTIFIED MALE: There's two grapes in Burgundy. There is Pinot Noir and there is Chardonnay. These two come from here. We're starting with a Pinot Noir.

LONGORIA: Oh, yes, that's so easy.

UNIDENTIFIED MALE: Fresh, easy.

LONGORIA: I've never had such a fresh Pinot Noir.

UNIDENTIFIED MALE: So this is the Chardonnay.

LONGORIA: OK.

UNIDENTIFIED MALE: There you go.

LONGORIA: That is so nice. Sometimes Chardonnays can be very perfumey.

UNIDENTIFIED MALE: Pure, fresh, elegant.

LONGORIA: It really rivals the Pinot Noir. If they were arm wrestling, it would be a tie.

UNIDENTIFIED MALE: Yes.

(END VIDEOTAPE) SANCHEZ: Don't miss the CNN original series, "EVA LONGORIA: SEARCHING FOR FRANCE," Sunday at 9 p.m. Eastern and Pacific, right here on CNN. We'll be right back.

[15:55:00]

(COMMERCIAL BREAK)

SANCHEZ: There a no lengths a parent won't go to take care and protect their kids. And if you need any proof, just watch this. What you're watching is a train speeding over tracks in Bangladesh, and that object moving underneath it, that is a father lying between the rails, shielding his infant son as the train passes inches above them.

DEAN: According to an official, the baby fell into the gap as the family was rushing to get off the train. A railway manager said the dad immediately jumped onto the tracks to cover his child. Miraculously, they're both OK.

And we're now just -- yes, shake that one off. We're now just minutes away from the closing bell on Wall Street where the Dow is down slightly, both the S&P 500 and Nasdaq are starting the month of May on the upswing, after a record-setting April.

SANCHEZ: All of this happening even though oil prices have surged back above $100 a barrel. The price of gasoline continues to rise as the Strait of Hormuz is effectively closed.

CNN's Vanessa Yurkevich joins us now. Vanessa, talk to us about what's driving the increase.

VANESSA YURKEVICH, CNN BUSINESS AND POLITICS CORRESPONDENT: Yes, so this is because oil prices have been hovering around $100 a barrel or more for the last few weeks. Right now, WTI -- that's the U.S. benchmark for oil -- down slightly today, about 2.8 percent, but still above $100 a barrel. And Brent crude, that's the international benchmark, has been hovering around $108, $110 a barrel today.

But if you look at the increase in crude oil, so this is Brent again, international, and U.S. crude, you can see, ever since February, it's been on the rise. Crude, U.S. crude, up about 70 percent or so, and Brent crude is up about actually 90 percent. That may be a little issue with the graphic there on the blue line.

But ultimately, this has been pushing gas prices so much higher and very quickly over the last week or so. Today, the national average is $4.39 a gallon. Look at that, up 9 cents from just yesterday and up significantly from just a week ago when gas prices were closer to $4 a gallon.

This is what we call the perfect storm scenario. This is what Patrick De Haan from GasBuddy is saying about gas prices right now. What you have is those global oil prices rising. You have regional refinery disruptions, particularly in the Midwest, pushing prices much higher there because of supply issues. And then, of course, people are getting ready to head out on the road, summer vacation, Memorial Day coming up, so more people driving, more demand, at a time when the summer fuel blend here in the United States is already more expensive, taking those first two things off the list.

You also have a lot of farmers in their key planting season using a lot of machinery, using a lot of fertilizer, using a lot of diesel, which is also up 50 percent.

So, unfortunately, it is the perfect storm right now. And what is really driving these exceptionally high prices, of course, is the remaining closure of the Strait of Hormuz and the fact that the two sides, Iran and the United States, do not seem to be talking right now, and that is really rattling investors, believing that the only place for these oil prices to go is up, and that, of course, pushes gas prices much higher, guys.

[16:00:00]

DEAN: It does.

SANCHEZ: It seems like there are some conversations behind the scenes, but not to the president's liking and certainly not to Iran's. Vanessa Yurkevich, thank you so much for the update.

"THE ARENA" with Kasie Hunt starts right now.

END