Much of the country is seeing gasoline prices drop below $3 per gallon — good news for consumers and the White House.
While the national average was sitting at around $3.09 per gallon Friday, 30 states had prices averaging below $3 per gallon, according to AAA.
Prices have been on a downward trend in recent weeks since the price of oil fell on seasonal demand, high levels of U.S. production and high interest rates slowing down the economy in general.
“A lot of this is seasonal in nature, Americans simply don’t drive as much — they drive less, as it gets colder out. We are also back on cheaper winter gasoline,” said Patrick De Haan, head of petroleum analysis at the gas price app GasBuddy.
More broadly, they are down from their peak of more than $5 per gallon in summer 2022 amid the breakout of war between Russia and Ukraine, as well as economic reopening after the COVID-19 pandemic.
President Biden touted the lower gas prices in a pair of posts on X, formerly known as Twitter, this week.
“Gas prices across America have declined by an average of $1.93 since their peak in 2022. That’s a decrease of 38%,” he wrote Wednesday.
“Right now, the average driver in America is spending over $100 less than if gas prices had stayed at their peak,” he added Thursday.
In general, presidents have limited effect on gasoline prices. Prices are largely based on the price of oil, which is traded on a global market.
The U.S. also does not have a nationally controlled oil company, and whether to drill domestically is largely decided by private companies.
Prices are expected to remain low, with De Haan saying there’s a chance the national average will fall below $3 per gallon in the next four to six weeks.
However, prices are expected to pick up in mid-February, he said, as seasonal demand comes back.
Overall, he forecasted this year’s prices will be somewhat lower than last year — averaging $3.38 compared to 2023’s $3.51 average — but said consumers may not notice a big difference.
“I don’t know that we’re going to see enough of those sub-$3 prices last long enough for Americans to really feel different about the overall state of gas prices,” he said.