Gas prices are shaping up to be at their lowest for Memorial Day weekend in four years, just in time for millions of Americans who are planning road trips.
The U.S. Energy Information Agency (EIA) reports that average retail gasoline prices for holiday weekends are about 14% lower than last year, largely driven by a decline in oil prices.
For instance, as of Monday, the average price for regular gasoline across the United States sits at $3.17 per gallon, an 11% drop compared to last year, according to the EIA.
Traditionally, gas prices have risen from January to May over the last decade, averaging an increase of 49 cents per gallon during that time.
However, it’s common for prices to spike as spring and summer approach, influenced by factors like higher travel demand and the switch to summer gasoline blends.
On the West Coast, prices averaged $4.29 per gallon on Monday, which is down 10% from last year, as reported by the EIA.
In the Gulf region, prices averaged $2.79 per gallon, a 13% decrease compared to this time last year. On the East Coast, where prices are the highest among the five regions, retail gasoline prices have fallen 17% since 2024.
As of Monday, the average price in the area was seen at $2.99 per gallon.
Price averages for the Midwest and Rocky Mountains came in at $3.03 and $3.13 per gallon, respectively, reflecting a 15% and 12% year-over-year drop after adjusting for inflation, according to the EIA.
The AAA predicts this favorable pricing will lead to a record number of travelers—around 45.1 million people—venturing at least 50 miles from home this holiday weekend.
Of that group, about 39.4 million individuals are expected to drive from Thursday to Monday.
Andy Lipow, from Lipow Oil Associates, estimates that gas prices will hover between $3.25 and $3.50 per gallon this summer, which would be considerably lower than last year’s rates.
He attributes this to tariffs, as well as a sense of optimism among oil exporters and the OPEC+ alliance, which is putting pressure on oil prices due to anticipated slower growth.
The group is projecting a global oil demand increase of 1.3 million barrels per day for both 2025 and 2026.
Bloomberg reports that OPEC is also considering whether to raise production significantly in June, potentially leading to further drops in crude oil prices.
Phil Flynn, a senior analyst at Futures Group and a contributor to Fox Business Network, mentioned that OPEC might increase production while reducing voluntary cuts. He pointed out that this dynamic has a negative effect on prices, but it also signifies OPEC’s interest in aligning with U.S. interests.
