For the first time since July 2021, the national average price for a gallon of regular unleaded gasoline has dipped below $3.00, according to AAA data updated this week. The average currently sits at $2.94 per gallon, with some Sun Belt and Plains states seeing prices as low as $2.60–$2.70.
What's Driving Prices Down?
- Record U.S. oil production: American crude output has hit 13.4 million barrels per day — a new record
- OPEC+ supply increases: The cartel has increased output by 400,000 barrels per day in recent months
- Weaker global demand: Economic slowdowns in China and Europe are reducing global oil consumption
- Refinery capacity: Several large U.S. refineries have come back online after maintenance shutdowns
States with the Lowest Gas Prices Right Now
- Mississippi: $2.61/gal
- Louisiana: $2.64/gal
- Texas: $2.67/gal
- Oklahoma: $2.69/gal
- Arkansas: $2.72/gal
“Enjoy it while it lasts. Summer demand is real, and the market is never as predictable as we’d like it to be.” — Tom Kloza, Global Head of Energy Analysis, OPIS
How Long Will This Last?
Analysts are divided. Some believe prices could remain below $3 through Labor Day if current production levels hold. Others warn that summer driving demand typically pushes prices up 30–50 cents per gallon between May and July. A sudden geopolitical disruption in any major oil-producing region could also cause rapid price spikes.
Tips to Lock In Savings
- Use GasBuddy or the AAA app to find the cheapest stations near you
- Fill up mid-week — Tuesday and Wednesday typically show lower prices than weekends
- A fuel rewards credit card can add up to 5 cents per gallon in additional savings
- Consider filling up more than usual now if you have a long summer trip planned