National gas prices dropped for the second week in a row in late April, offering drivers a break after months of increases driven by Middle East supply disruptions.
According to AAA, the week of April 23, the national average fell from $4.09 to $4.03, a six cent difference.
Prices have jumped sharply since January, with regular gasoline up 44% and premium up 34% from the start of the year. Compared to last year, regular gas rose 29% from $3.14 per gallon.
The main driver behind the price spike has been the war in the Middle East. After a two-week ceasefire was announced between the U.S. and Iran, crude oil prices started to trade below $100 per barrel. However, maritime traffic through the Strait of Hormuz, a critical oil shipping lane, remained largely halted as regional tensions continued and negotiations persisted.
Regular shipping activity through the Strait has been disrupted since early March, affecting roughly 20 million barrels of oil per day and refined products. Reduced supply of crude oil directly impacts what consumers pay at gas stations in the U.S. and around the world.
Regional price differences have widened substantially. California currently holds the highest average for regular gas at $5.82 per gallon, while transversely Oklahoma offers the cheapest at $3.31.
U.S. Energy Secretary Chris Wright addressed the situation in a recent television appearance. Wright told CNN that prices have “likely peaked” and will start declining, especially if the conflict with Iran reaches an end. When asked when Americans should anticipate gas under $3 per gallon, he replied “That could happen later this year. That might not happen until next year.”
The issue has also registered politically. A CBS News/YouGov poll found that 51% of adults stated that gas prices have either been “difficult” or a “financial hardship” for their family.
The U.S. The Energy Information Administration (EIA) recorded in the past forecast that retail gas prices would be lower in 2026 compared to 2025, following an ongoing trend of declining prices since the high of $5 per gallon in mid-2022. However, the ongoing supply interruptions tied to the war in the Middle East have complicated that outlook.
For the time being, drivers appear to be cautiously optimistic as the numbers keep dropping, but analysts stress that a full return to pre-conflict prices is dependent largely on how global tensions unfold in the coming months.
