- Average gas prices across the U.S. are at four-year lows.
- The Trump administration says regulatory changes drove the reductions.
- Oil industry experts say it's mostly a function of supply-and-demand economics.
The average price for a gallon of regular gas across the country was $2.91 on Wednesday, almost a dime less than a year ago and likely to continue its downward trajectory in the next few weeks, according to industry watchers.
Utah prices are currently trending well below the national average, per AAA data, with the average price across the state at $2.80 for a gallon of regular on Wednesday.
President Donald Trump’s administration has been quick to take credit for the recent gas prices reduction cycle even as industry experts point to a market-based explanation for the dynamic.
Back in October, when U.S. gas prices first hit four-year-low territory, White House spokesperson Taylor Rogers pointed to new regulatory relief for domestic petroleum producers as the driver behind cheaper gas.
“There is no disputing the fact that President Trump’s energy dominance agenda is the reason Americans are paying less at the gas pump,” Rogers said in a statement, per a report from Politico. “President Trump has rolled back Biden’s burdensome regulations which has allowed oil and gas companies to ‘DRILL, BABY, DRILL’ to capitalize on the liquid gold under our feet.”
In a recent social media posting, former Utah congressman and current Fox News contributor Jason Chaffetz also gave Trump credit for price declines. In a selfie shot posted on X with a gas pump price visible in the background, Chaffetz wrote, “Trump did this. Fillmore, Utah. Today $2.15 for a gallon of regular gasoline. Keep on and Fillmore.”
However, former energy advisor for President George W. Bush, Bob McNally, argues that the nation’s chief executive, regardless of who occupies the position, doesn’t wield the power to significantly impact petroleum industry pricing.
“Any president’s ability to affect the price of crude oil is usually very limited,” said McNally, who is now president of Rapidan Energy Group, per Politico. When it comes to Trump’s claims, McNally said, “I would say he could claim an assist, not a total responsibility, for lower oil prices.”
Other than a brief mention at his Davos speech in January, Trump has done little publicly to push OPEC to drive prices down, McNally noted. Trump also held off on major sanctions on oil-producing nations like Russia until last month, helping to avert price spikes.
While U.S. gas prices haven’t been this low since the pandemic, industry experts underscore the simple economics of supply and demand as the primary factor behind the gas price decline amid ongoing inflationary pressures and still rising costs for most necessities.
What petroleum industry experts say
An analysis from price tracking website GasBuddy projects the national average on Christmas Day to land near $2.79 per gallon, below last year’s price of $3.00. That level of reduction would save motorists over half a billion dollars during the Christmas week compared to last year. While 2024 previously represented the lowest Christmas Day price since 2020, this year continues that trend and marks another year of modest improvement for holiday drivers.
As a general rule, gas prices typically trend downward in early fall as U.S. refineries switch summer formulas to less expensive winter blends. Colder temperatures also drive down demand and prices as winter weather conditions move in. GasBuddy notes that even with millions of Americans traveling for the holidays, winter gasoline demand remains far lower than in the summer, naturally keeping prices down.
The impacts of this year’s seasonal price and demand reductions have been amplified by a series of OPEC production increases in 2025, further skewing the supply and demand imbalance.
“Christmas is often when gas prices settle near the lowest levels of the year, and 2025 is no exception,” said Patrick De Haan, head of petroleum analysis at GasBuddy, in a Tuesday blog post. “Refinery maintenance has wrapped up, supplies are rising, and winter demand is much lower than in summer — all of which help keep a lid on prices."
De Haan also predicts price relief trend will extend beyond the upcoming winter holiday season.
“Provided there are no surprises, holiday travelers should see pump prices that come in a bit lower than last Christmas,” De Haan said. “We’re also seeing encouraging early trends as we prepare to release our 2026 Fuel Outlook in January, with signs that lower prices could continue into next year. For those traveling across state lines, keep in mind the extreme volatility in prices that can occur between states and save yourself 20-80 cents per gallon by filling up on the cheaper side.”