US Gas Prices Drop for Third Consecutive Week, Hit 4-Year Low

US gas prices have fallen for the third consecutive week, now sitting at a four-year low. The price of gasoline now sits at an average of $3.03 per gallon. Several analysts credit uncertainty over the state of the economy, including President Donald Trump’s tariffs, as the reason behind the drop.

JUST IN: US gas prices drop for the third consecutive week, reaching a four-year low.

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The price of gas fell 0.6 cents from last week’s average of $3.04, and is down 8.9 cents from one month ago and 36.7 cents from a year ago, according to a GasBuddy report. Patrick De Haan, head of petroleum analysis at GasBuddy, said in a press release that caution around potential tariffs is “likely having a moderate impact” on prices. “Concerns about the direction of the economy could have a major influence on fuel prices in the months ahead, especially with the high level of uncertainty surrounding tariffs.

Gas Prices to Continue Dropping, Analysts Predict

De Haan also mentioned that OPEC+ may create further momentum for gas prices to drop soon. “OPEC+ announced last week that it would gradually begin restoring oil production after nearly two years of cuts, adding further downward pressure on oil prices. As a result, the typical seasonal rise in gas prices has yet to materialize, and if and when it does, it may be considerably smaller than expected,” the analyst noted.

The spring typically brings an increase in prices, so the continued drop comes as a surprise for most analysts. Last week, traders and analysts were worried that tariffs threatened by Trump, including a 10% levy on Canadian oil, would make gas prices rise, especially in parts of the country that largely rely on Canadian gasoline. However, the dropoff is still underway.

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Last week’s report from the Energy Information Administration showed a 3.6-million-barrel increase in crude oil inventories, while domestic U.S. oil production increased slightly to 13.508 million barrels per day. The SPR was unchanged and stands at 395.3 million barrels. Gasoline inventories fell 1.4 million barrels, while distillate inventories fell by 1.3 million barrels with refineries operating at an 85.9% utilization rate, a drop of 0.6 percentage points from a week ago.

Additionally, the states that saw the steepest drop in gas prices were Colorado (-10.4¢), Washington (-9.7¢), and Tennessee (-8.1¢). Meanwhile, Gas is most expensive in California, where the average price per gallon is $4.65, followed by Hawaii at $4.57 and Washington at $4.03.