Nationwide Gas Prices Surge Beyond $4: Discover the States...

For the first time since the onset of the conflict in Iran, gas prices have surged past $4 per gallon across all states, just as millions of Americans gear up for Memorial Day travel.

As reported by AAA, the national average for a gallon of regular gasoline hit $4.56 on Wednesday. Prices vary significantly, peaking at $6.15 in California and dipping to $4.01 in Georgia.

This steep increase, over $1.50 since the beginning of the Iran-related conflict, is largely attributed to disruptions in oil supplies through the Strait of Hormuz, which have driven energy costs skyward.

An analysis suggests that a gas tax holiday could offer drivers a modest relief of about $9 monthly.

Currently, seven states have surpassed the $5 per gallon mark, while traditionally more affordable Gulf Coast states such as Texas, Louisiana, and Mississippi are experiencing prices above $4 per gallon.

“Americans are going to pay billions more to get where they’re going this summer, and even after the Strait reopens, it could take a year or more for prices to fully recover,” GasBuddy head of petroleum analysis Patrick De Haan said Wednesday.

If the strait remains closed through midsummer, De Haan said the national average could surpass the record set in 2022, when gas topped $5 a gallon.

Despite the high prices, a record 39.1 million people are expected to travel by car this Memorial Day weekend, according to AAA.

Which states have the highest gas prices?

California has the highest gas prices in the nation, at $6.15 a gallon. Prices tend to be higher there due to a combination of state taxes and fees, environmental regulations and special fuel blends.

Nearby Oregon and Washington also rank among the most expensive states for gas, with both well above $5 per gallon on Wednesday.

Oregon voters Tuesday overwhelmingly rejected a six-cent gas tax increase passed last year by the state’s Democratic lawmakers — blocking a hike that would have put further upward pressure on prices.

Illinois is the only state east of the Rockies where gas prices are above $5 per gallon, though Michigan isn’t far behind at $4.77 per gallon.

The 10 states with the highest gas prices (AAA data as of Wednesday, May 20)

National average: $4.56 per gallon

California: $6.15
Washington: $5.79
Hawaii: $5.65
Oregon: $5.35
Alaska: $5.28
Nevada: $5.27
Illinois: $5.03
Arizona: $4.83
Colorado: $4.78
Michigan: $4.77

Which states have the lowest gas prices?

Georgia has the lowest gas prices in the nation, aided in part by the state’s gas tax holiday, which Gov. Brian Kemp recently extended through June 2.

Indiana drivers are also benefiting from a gas tax holiday, with prices down about 20 cents from a week ago.

Along the Gulf Coast, where much of the nation’s refinery capacity is concentrated, gas prices remain comparatively low despite sharp increases in recent weeks.

At just over $4 a gallon, prices in Mississippi and Texas are roughly $1.30 higher than they were a year ago, according to AAA.

The 10 states with the lowest gas prices (AAA data as of Wednesday, May 20)

National average: $4.56 per gallon

Georgia: $4.01
Mississippi: $4.01
Texas: $4.04
Louisiana: $4.05
Indiana: $4.07
Oklahoma: $4.09
Arkansas: $4.10
Kansas: $4.12
Alabama: $4.15
South Carolina: $4.18

Would a federal gas tax holiday lower prices?

Lawmakers in both parties have introduced legislation to temporarily suspend the federal gas tax, and President Donald Trump has backed the idea, but research suggests it would only save drivers a few dollars.

A recent analysis found the average driver would save about $9 per month under a federal gas tax holiday, while draining billions from the Highway Trust Fund.

If the 18.4-cent tax were suspended, the Penn Wharton Budget Model estimates gas prices would fall by about 13.2 cents per gallon, meaning roughly 72% of the relief would be passed on to drivers.

State-level gas tax holidays could ultimately provide bigger savings to consumers because state taxes and fees are generally higher than the federal levy.

Welcome to Newsfinale Journal

Welcome to Newsfinale Journal

Welcome to Newsfinale Journal

Topics

Read more

Subscribe to Liberty Case

Forever

Recommended

1-Year

1-Month

Topics

Read more

Subscribe to Liberty Case

Forever

Recommended

1-Year

1-Month

Welcome to Newsfinale Journal

Nationwide Gas Prices Surge Beyond $4: Discover the States Paying the Most

Subscribe for exclusive content