The national price for regular gasoline climbed 86 cents above its year-ago level Monday as renewed U.S.-Iran attacks pushed global crude benchmarks sharply higher.
By yourNEWS Media Newsroom.
The average price of regular gasoline in the United States returned to $4 per gallon Monday as renewed military exchanges between the United States and Iran placed additional pressure on global oil markets.
AAA reported that the national average reached $4, compared with $3.14 per gallon at the same point last year. The increase amounts to 86 cents per gallon, adding significantly to transportation costs for American households and businesses.
The national figure does not reflect what every driver pays. Motorists in some states have faced prices well above $4 for an extended period, while those in other parts of the country continue to pay less.
Regional differences are influenced by several factors, including state fuel taxes, refinery access, transportation costs, local supply and the type of gasoline required under state environmental regulations.
The latest increase follows several months of volatility tied to the conflict with Iran and concerns about the availability and movement of oil through the Middle East.
Average U.S. gasoline prices initially moved above $4 per gallon at the end of March. They fell below that level in mid-June and continued declining as crude prices eased following an interim agreement between Washington and Tehran.
President Donald Trump expressed frustration during that period that retail gasoline prices were not falling as quickly as crude oil prices.
The downward movement reversed as the interim arrangement deteriorated and the United States and Iran resumed escalating attacks.
Oil markets responded Monday with sharp gains. Brent crude, the international pricing benchmark, rose 3.2% to $90.95 per barrel.
U.S. benchmark crude increased 2.8% to $84.04 per barrel.
The renewed rise reflects concerns that a wider conflict could disrupt energy production or transportation, particularly through critical Middle Eastern shipping routes.
Consumers outside the United States are also facing higher fuel costs as the war affects global petroleum markets. Because crude oil is traded internationally, disruptions or anticipated shortages can raise prices even in countries that do not directly depend on Iranian supplies.
Higher gasoline prices can affect more than the cost of driving. Businesses that transport food, manufactured goods and other products frequently pass at least part of their increased fuel expenses to consumers.
Rising oil prices can also increase the cost of aviation, shipping, plastics, agricultural production and other industries that depend heavily on petroleum.
Those pressures could make affordability a significant issue in the U.S. midterm elections. Household expenses have remained a central political concern, and gasoline prices are among the most visible costs consumers encounter regularly.
The return to a $4 national average indicates that recent declines were not sustained as the military and diplomatic situation involving Iran deteriorated.
Further changes are likely to depend on crude oil prices, refinery production, fuel inventories and whether the confrontation expands or moves toward another negotiated pause.
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