According to data from the fuel price tracking company GasBuddy, on Friday (November 28th), the average price of regular gasoline in the United States dropped to $2.95 per gallon, the lowest gas price since May 2021.
GasBuddy’s oil analysis director Patrick De Haan stated in a statement that over the past seven days, a combination of decreasing oil costs, strong refinery production, and weak demand has led to a decline in gas prices in all 50 states of the United States. He described this trend as “extremely rare.”
De Haan mentioned, “For Americans, this is a welcome breather before the holidays, as the refinery maintenance season has ended and gasoline demand has weakened with the season.”
Typically, when refineries resume full operations, the gasoline supply increases. Meanwhile, the winter weather reduces driving demand, and some regions switch to lower-cost winter blend fuels, naturally leading to a decrease in demand and gas prices.
In Colorado, Oklahoma, and Texas, gas prices at dozens of stations fell below $2 per gallon. Meanwhile, California has the highest average gas price at $4.50 per gallon, but on Friday, prices dropped below $4 in several counties.
California usually has the highest gasoline prices in the United States, attributed to the state’s high taxes and environmental regulations, which require the use of unique and higher-cost blend fuels. Other factors include the closed gasoline market in the state, limited local refinery capacity, and high transportation costs.
GasBuddy pointed out that the recent drop in oil prices is partly due to the declining crude oil prices, benefiting from OPEC+ increasing production and record-breaking oil production in the United States. Refinery operating rates have also returned to higher levels, boosting gasoline inventories at a time when gasoline consumption typically decreases.
With over 70 million Americans traveling during Thanksgiving, the easing of gas prices weakens the notion that “holiday travel will raise gas prices.”
De Haan questioned on social platform X, “Can we finally put an end to the belief that gas prices rise during the holidays?”
GasBuddy stated that having national average gas prices below $3 for the next four weeks may become the norm, possibly lasting through the winter.
De Haan added, “As we approach 2026, the outlook for drivers is becoming increasingly optimistic.”
According to GasBuddy’s data, as of Friday, the states with the lowest average gas prices are as follows:
– Oklahoma: $2.37 per gallon
– Colorado: $2.49 per gallon
– Louisiana: $2.52 per gallon
– Mississippi: $2.53 per gallon
– Texas: $2.55 per gallon
In comparison, the states with the highest average gas prices are as follows:
– California: $4.50 per gallon
– Washington: $4.08 per gallon
– Oregon: $3.72 per gallon
– Nevada: $3.64 per gallon
– Arizona: $3.29 per gallon
(Source: Report from “The Hill”)