❓WHAT HAPPENED: Gas prices fell sharply throughout December, reaching a national average of $2.75 per gallon by December 29, the lowest level since 2021, according to GasBuddy.
👤WHO WAS INVOLVED: GasBuddy, U.S. crude oil producers, OPEC+ members, and the Energy Information Administration (EIA).
📍WHEN & WHERE: December 2025, across the United States, with regional variations in gasoline and diesel prices.
💬KEY QUOTE: “Oil prices have remained relatively low even amid the U.S. blockade on Venezuela’s oil exports,” said Patrick De Haan, GasBuddy’s head of petroleum analysis.
🎯IMPACT: U.S. gasoline prices have declined in most states, with some stations dropping below $2 per gallon.
Gas prices have continued to fall across the United States this month. By December 29, the nationwide average reached $2.75 per gallon, per GasBuddy data—the lowest point seen since 2021. Diesel fuel costs also decreased, reaching a national average of $3.52 per gallon, which was more than $0.05 lower than the week before.
This drop stems from higher U.S. oil output and greater production from OPEC+ countries, even with sanctions affecting exporters such as Russia and Venezuela. According to the Energy Information Administration (EIA), American crude oil output hit close to 17 million barrels per day around mid-December, representing a 12 percent rise since October.
Patrick De Haan, GasBuddy’s head of petroleum analysis, pointed out that gas prices declined in almost all states, and certain stations in about a dozen states sold fuel for under $2 per gallon. “Oil prices have remained relatively low even amid the U.S. blockade on Venezuela’s oil exports,” De Haan said. He noted that the downward trend might persist into January or February before reaching its lowest point.
Although drivers are currently experiencing lower costs, crude oil prices edged up slightly on December 29. U.S. crude increased by 2.1 percent to nearly $58 per barrel, while Brent crude rose 1.88 percent to $61.78 per barrel. This movement might foreshadow upcoming rises in pump prices.
The GasBuddy analysis drew from more than 12 million individual price submissions across 150,000 stations nationwide and revealed notable regional differences. Republican-run Oklahoma had the nation’s cheapest average for gasoline at $2.17 per gallon, whereas Democrat-run Hawaii and California topped the list with $4.36 and $4.20 per gallon, respectively. Diesel averages displayed comparable regional patterns.
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