Gas Prices Hit 2025 Peak: How the New Surge Will Impact Your Wallet

U.S. drivers are paying a bit more at the pump this week as the national average for regular gasoline ticked up to $3.16 per gallon, a four-cent jump from the previous week and the first significant move of the summer driving season. While prices remain about 40 cents lower than a year ago, analysts warn that tightening supply and higher crude-oil costs could keep upward pressure on gas prices through July. Why are gas prices rising right now? • Crude-oil rally: West Texas Intermediate settled above $63 per barrel this week, lifted by OPEC+ production cuts and stronger global demand. Crude accounts for roughly 50 percent of what you pay at the pump. • Refinery maintenance wrap-up: Spring maintenance ended later than usual, delaying the normal spring price run-up. As refineries switch to summer-grade blends, the wholesale cost of gasoline increases. • Demand rebound: The Energy Information Administration (EIA) reports gasoline demand climbed to 8.79 million barrels per day, the highest since early April, while national inventories slipped by 1 million barrels. Where gas prices are highest—and lowest California continues to lead the nation at $4.92 per gallon, followed by Hawaii ($4.49) and Washington ($4.33). On the opposite end of the spectrum, Mississippi drivers are enjoying the cheapest fuel at $2.66 per gallon, with Tennessee and Louisiana close behind. The gap of more than $2.25 between the two coasts underscores how state taxes and environmental regulations shape local pump prices. Holiday traffic impact AAA expects a record 39.4 million Americans to hit the road over Memorial Day weekend, adding an extra layer of demand just as refineries finalize the switch to cleaner-burning summer fuel. Historically, the national average rises by 10–20 cents between late May and Independence Day, so filling up sooner rather than later could save money. What could happen next? • If crude oil stays in the $60s, most analysts see the national average hovering between $3.25 and $3.45 by mid-July. • A hurricane striking the Gulf Coast would be the wild card, as the region processes nearly half of U.S. gasoline; a direct hit can spike prices 20–30 cents overnight. • Conversely, slower economic growth in Asia or any surprise boost in U.S. refinery output could cap summer prices below $3.30. Money-saving tips while prices climb 1. Combine errands to cut miles driven. 2. Keep tires inflated to automaker specs; under-inflation can shave 2–3 mpg. 3. Use cruise control on the highway and ease off the accelerator; aggressive driving can slash fuel economy by up to 25 percent. 4. Compare prices with mobile apps and consider warehouse clubs or supermarket loyalty programs for discounts. 5. Lighten your load—every extra 100 pounds can trim fuel efficiency by roughly 1 percent. Bottom line Gas prices have embarked on their usual summer climb, but 2025 is still shaping up to be a cheaper driving year than 2024. Monitoring crude-oil trends, hurricane forecasts, and regional refinery output will be key to predicting how high pump prices go. Until then, smart driving habits and early fill-ups remain the easiest ways to keep more cash in your tank.