- The national average price of a gallon of regular gasoline is approaching $4 per gallon for the first time since August 2022.
- The White House says negotiations to end the war in Iran are underway, but experts say gas prices may not come down quickly even if the war ends.
The average American is paying $3.98 for a gallon of regular gasoline today, according to AAA. The average has now climbed by $1 in just one month, and is poised to cross the $4 barrier for the first time since August 2022.
California, home to America’s highest gas prices, is averaging $5.84 per gallon today. Kansas residents have the lowest prices, at $3.27.
“Crude oil prices remain high as the Iran conflict nears the 4-week mark,” AAA explains. “Gasoline demand is also on the rise as spring break season continues, another factor in rising pump prices.”
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The U.S. Energy Information Administration notes, “In March 2026, tanker rates for Very Large Crude Carriers (VLCCs) leaving the Middle East to Asia were the highest since at least November 2005, when data were first recorded. The price increase followed Iran’s closure of the Strait of Hormuz on March 2.”
Ryan Cummings, chief of staff at the Stanford Institute of Economic Policy Research, told Axios, “the average California household could spend about $857 more on gas from March through December this year” at current price levels.
Those prices may be with us for quite some time.
Up Like a Rocket, Down Like a Feather
President Trump has said the parties are negotiating to end the war, though Iranian leaders dispute his characterization.
The New York Times explains, “Even if Mr. Trump were to broker an end to hostilities with Iran before his new, self-imposed Friday deadline, it may still be weeks, if not months, before American families and businesses see a true break in their spiraling energy costs, economists and industry executives say.”
The Associated Press adds, “shipping and production have been disrupted and will take time to recover.”
Mark Zandi, chief economist for Moody’s Analytics, told the Times that gas prices “rise like a rocket,” but “fall like a feather.”
The Times notes, “The exact timeline will depend on many factors, including the extent of the damage to the energy infrastructure in the Middle East and the fate of the Strait of Hormuz.”
