The average price of regular gasoline in the United States reached $4.14 per gallon ahead of the Labor Day weekend, nearly one dollar higher than the previous year and surpassing the Labor Day record of $3.82 set in 2012, according to the American Automobile Association (AAA). Nicole Collins, a traveler from Philadelphia, noted that high gas prices have limited her family's summer travel plans. At a gas station in Claymont, Delaware, regular gas was priced at $4.199 per gallon.
Prices have increased following military actions involving the U.S. and Israel against Iran in February, which have disrupted crude oil traffic through the Strait of Hormuz. Tom Seng, a professor of energy finance at Texas Christian University, attributed the rising prices to the conflict and the situation in the Strait.
Energy Secretary Chris Wright stated that current gas prices are higher than they were on Labor Day in 2025 but did not provide specifics on when prices might decrease. The national average for regular gas remains below the record high of $5.02 per gallon set in June 2022. In contrast, diesel fuel has reached a national average of $5.85 per gallon, a record high, which is impacting transportation costs for consumers.
Historically, gas prices tend to decline as the summer driving season concludes and refineries switch to producing a cheaper winter blend. However, Seng mentioned that U.S. refineries are operating at 98% capacity, and factors such as extreme heat in Texas or potential hurricanes could hinder price reductions. Additionally, disruptions in diesel supplies due to Ukrainian drone attacks on Russian refineries and declining outputs from Chinese refiners are contributing to the situation.
Wright indicated that the market anticipates lower prices in the coming months, with futures prices suggesting a decrease of about $0.35 per gallon for bulk gasoline purchases in November compared to current prices. While geopolitical factors limit immediate solutions for consumers, utilizing price comparison apps can help save money on fuel purchases, particularly on long trips where prices can vary significantly between locations.