US gas prices rise despite oil supplies
Gas prices in the United States rose significantly despite being one of the world’s leading oil producing countries. See how the attack on Iran affected oil infrastructure around the world.
The average price of a gallon of gasoline in the United States could soon reach $4.50 per gallon, according to a prominent fuel industry analyst.
“Oh, everyone be careful…the national average could soon reach $4.50 per gallon,” Patrick de Haan, GasBuddy’s head of petroleum analysis, wrote in an X post.
The forecast comes as the average price of gasoline rose to $4.23 per gallon on Wednesday, April 29, from an average of $4.02 a week earlier on April 22. Gasoline prices are expected to continue rising in the coming weeks as the war between the United States and Iran continues, De Haan said in a blog post.
“Oil prices are rising again as markets react to renewed geopolitical tensions and the halt in negotiations between the US and Iran,” de Haan wrote. “As a result, we expect petrol prices to rise further this week, with diesel to follow.”
How are gasoline prices determined?
“Gasoline prices reflect the costs of the entire fuel supply chain, from crude oil production to refining, distribution and retail,” the American Petroleum Institute, which works with the natural gas and oil industries, said in a post on its website.
“The biggest factor is the price of crude oil traded on global markets,” the group said. “Refining costs, distribution and marketing costs, and federal and state taxes also impact the price you ultimately pay at the pump.”
According to the U.S. Energy Information Administration, the price you see at the pump consists of:
- Oil price: 51%
- Refining cost: 20%
- Federal and state taxes: 18%
- Distribution and marketing: 20%
In the case of diesel prices, the authorities classify the composition of published prices as follows:
- Oil price: 41%
- Distribution and marketing: 24%
- Refining cost: 18%
- Federal and state taxes: 17%
Which states have the highest gas prices?
California has the highest gas prices in the nation, with drivers there paying an average of $5.98 as of Wednesday, April 29, according to AAA. This is up from California’s average price of $5.83 per gallon as of April 22.
Here are the top five states with the highest gas prices in the nation:
1. California
- Average gas price on April 29: $5.98
- Average gas price on April 22nd: $5.83
- Price difference: 15 cents
2. Hawaii
- Average gas price on April 29: $5.63
- Average gas price on April 22nd: $5.66
- Price difference: -3 cents
3. Washington
- Average gas price on April 29: $5.54
- Average gas price on April 22nd: $5.38
- Price difference: 16 cents
4. Oregon
- Average gas price on April 29: $5.12
- Average gas price on April 22nd: $4.97
- Price difference: 15 cents
5. Nevada
- Average gas price on April 29: $5.12
- Average gas price on April 22nd: $4.97
- Price difference: 15 cents
