American drivers are facing the highest fuel prices seen since mid-2022, with the national average for regular gasoline now exceeding $4.50 per gallon. The increase follows months of steady rises linked to higher oil prices and ongoing tensions in the Middle East.
Only eight states remain below the $4 threshold, while several western states are now recording averages above $5 per gallon. According to AAA, California has become the most expensive state for fuel, with prices moving beyond $6 per gallon.
The latest figures highlight how sharply conditions at the pump have changed since late February, when the national average for regular gasoline was still below $3. Prices have since climbed by roughly $1.50 per gallon across the country.
Analysts and fuel tracking organisations say regional differences in taxes, infrastructure and fuel regulations continue to shape how much motorists pay depending on where they live.
National Average Reaches Highest Level Since 2022
According to data released by the American Automobile Association (AAA), the national average price for a gallon of regular gasoline reached $4.536 on Wednesday. That marked an increase from Tuesday’s average of $4.483 and represented the first time prices had crossed the $4.50 mark since July 2022.
AAA figures showed that prices had been rising steadily since the strikes in the Middle East on February 28. Before that escalation, the average national price had fallen to $2.98 per gallon on February 26. Fuel prices briefly eased in April before climbing again after April 22, when the national average dipped to $4.02. Since then, prices have risen by 46 cents per gallon nationwide.
The increases have not been evenly distributed across the country. According to AAA, California recorded the highest statewide average on Wednesday at $6.160 per gallon. Washington, Hawaii, Oregon, Nevada and Alaska were also among the states where average prices exceeded $5.
At the opposite end of the scale, Oklahoma remained the cheapest state for fuel, with an average price of $3.962 per gallon. Georgia, Mississippi, Louisiana, Arkansas, Nebraska, Texas and Kansas were the only other states where average prices stayed below $4. Ohio, Michigan and Indiana experienced some of the steepest recent increases, with prices in each state rising by more than a dollar over roughly two weeks.
Regional Factors Continue to Widen State-By-State Differences
According to the U.S. Energy Information Administration, taxes accounted for more than 14 per cent of the average price of a gallon of gasoline in 2023. Variations in state fuel taxes remain one of the main reasons drivers encounter large price differences across the country.
Geography and fuel infrastructure also affect pricing. States located near major refinery centres or pipeline networks often face lower transport costs, while more isolated regions can encounter supply constraints that push prices higher.
California’s fuel market has long differed from much of the country because the state requires a cleaner-burning gasoline blend produced by relatively few refineries. According to Investopedia, that requirement has contributed to consistently higher fuel prices in the state.
The current national rise follows another major fuel price surge seen in June 2022. At that time, the national average briefly moved above $5 per gallon. Although fuel prices vary sharply by region, AAA data indicates that nearly every state has experienced increases since late April. Hawaii was the only state where prices were reported to have remained largely stable during that period.
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