The average price of a gallon of gas in the United States is on the rise in all 50 states, one prominent fuel industry analyst said.
“Gasoline prices rose in every state over the last week, with some of the most significant and fastest increases concentrated in the Great Lakes, where states like Michigan, Indiana, Ohio, and Illinois saw sharp spikes, while Wisconsin experienced more modest gains,” Patrick De Haan, head of petroleum analysis at GasBuddy said in a blog post.
“At the same time, diesel prices surged to new records in parts of the region, with some areas touching the $6-per-gallon mark,” De Haan continued.
The comments come as the average price of gas rose to $4.46 per gallon on May 4, up from an average of $4.11 one week ago on April 27, according to the AAA auto club.
De Haan said gas prices are fluctuating so much because “markets are also digesting a wave of new developments — including OPEC+ raising production for June and President Trump outlining a plan to free stranded ships — which could help restore some supply.”
“However, with so many moving pieces, the outlook remains highly fluid, and while some localized relief may emerge, broader price volatility is likely to persist in the near term,” he wrote.
How Are Gas Prices Determined?
The American Petroleum Institute, which lobbies for the natural gas and oil industry, said in a post on its website, “gasoline prices reflect costs across the fuel supply chain — from crude oil production to refining, distribution and retail sales.”
“The largest factor is the price of crude oil, which is traded in global markets,” the group said. “Refining costs, distribution and marketing expenses, and federal and state taxes also contribute to the price drivers ultimately pay at the pump.”
According to the U.S. Energy Information Administration, the price you see at the pump is composed of the following factors:
- Crude oil pricing: 51%
- Refining costs: 20%
- Federal and state taxes: 18%
- Distribution and marketing: 20%
For diesel pricing, the agency breaks down the composition of the posted pricing like this:
- Crude oil pricing: 41%
- Distribution and marketing: 24%
- Refining costs: 18%
- Federal and state taxes: 17%
Where Are the Highest Gas Prices in the U.S.?
California has the highest gas prices in the United States, with drivers there paying an average of $6.11 on May 4, according to AAA. That was up from an average price of $5.95 per gallon in California one week ago on April 27.
Here are the top 5 states with the most expensive gas prices in the nation:
1. California
- Average gas price on May 4: $6.11
- Average gas price on April 27: $5.95
- Difference in price: 16 cents
2. Hawaii
- Average gas price on May 4: $5.64
- Average gas price on April 27: $5.66
- Difference in price: -2 cents
3. Washington
- Average gas price on May 4: $5.67
- Average gas price on April 27: $5.48
- Difference in price: 19 cents
4. Oregon
- Average gas price on May 4: $5.25
- Average gas price on April 27: $5.07
- Difference in price: 18 cents
5. Nevada
- Average gas price on May 4: $5.18
- Average gas price on April 27: $5.03
- Difference in price: 15 cents
Which States Have the Cheapest Gas Prices?
Oklahoma has the cheapest gas prices in the United States, with drivers there paying an average of $3.89 on May 4, according to AAA. That was up from an average price of $3.50 per gallon in Oklahoma one week ago on April 27.
Here are the top 5 states with the cheapest gas prices in the nation:
1. Oklahoma
- Average gas price on May 4: $3.89
- Average gas price on April 27: $3.50
- Difference in price: 39 cents
2. Kansas
- Average gas price on May 4: $3.96
- Average gas price on April 27: $3.53
- Difference in price: 43 cents
3. Arkansas
- Average gas price on May 4: $3.90
- Average gas price on April 27: $3.60
- Difference in price: 30 cents
4. Georgia
- Average gas price on May 4: $3.86
- Average gas price on April 27: $3.62
- Difference in price: 24 cents
5. North Dakota
- Average gas price on May 4: $4.00
- Average gas price on April 27: $3.65
- Difference in price: 35 cents
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