Gas Prices 1 Year Ago Vs Now: The Shock Comparison
One year ago, in late May 2025, the U.S. national average for regular unleaded gasoline was approximately $3.16 per gallon, compared to today's AAA national average of $4.36 per gallon as of May 30, 2026-a year-over-year increase of roughly $1.20 per gallon or 38%. This sharp rise reflects tightening refinery capacity, elevated crude oil costs, and seasonal demand peaks within the broader liquid fuel and LNG-linked energy complex.
Year-Over-Year Gas Price Comparison: May 2025 vs. May 2026
The following table presents the precise national average price differentials across fuel grades, highlighting the magnitude of the price shock experienced by consumers and industrial operators alike.
| Fuel Grade | May 2025 Avg. ($/gal) | May 2026 Avg. ($/gal) | Year-Over-Year Change |
|---|---|---|---|
| Regular Unleaded | $3.162 | $4.356 | +$1.194 (+37.8%) |
| Mid-Grade | $3.651 | $4.720 | +$1.069 (+29.3%) |
| Premium | $4.008 | $5.085 | +$1.077 (+26.9%) |
| Diesel | $3.537 | $4.612 | +$1.075 (+30.4%) |
These figures underscore the systemic price pressure now affecting not only transportation fuels but also distillate markets closely tied to LNG feedstock competition and industrial energy demand.
Key Drivers Behind the $1.20 Per Gallon Surge
Several structural and cyclical factors have converged to push gas prices significantly higher over the past 12 months:
- Crudd oil price escalation: WTI crude climbed from ~$70/barrel in mid-2025 to ~$82-$85/barrel in early 2026, directly lifting retail gasoline costs by approximately 50 cents per gallon.
- Refinery capacity constraints: Unplanned outages at key Gulf Coast refineries and reduced seasonal maintenance windows tightened supply just as summer driving demand peaked.
- LNG export competition: Surging U.S. LNG export volumes have increased demand for natural gas liquids (NGLs), indirectly tightening crude refining margins and elevating gasoline spot prices.
- Seasonal fuel blend transitions: The switch to summer-grade gasoline in May adds roughly 10-15 cents per gallon compared to winter blends used a year earlier.
- Geopolitical supply risks: Ongoing tensions in the Red Sea and Middle East have added a $3-5/barrel risk premium to crude markets, transmitted directly to pump prices.
Regional Price Disparities: Who Felt the Shock Most?
While the national average rose 38%, certain states experienced far steeper increases due to local refining infrastructure, taxation, and fuel blend requirements.
- California: From ~$5.35/gal (May 2025) to $6.04/gal (May 2026) - +$0.69 (+12.9%), but still the highest absolute price in the nation.
- Alaska: From ~$4.60/gal to $5.235/gal - +$0.635 (+13.8%), exacerbated by remote logistics and limited refining capacity.
- Gulf Coast states (e.g., Texas, Louisiana): Typically saw 35-40% increases, benefiting from proximity to refineries but still hit by crude costs.
- Northeast corridor (e.g., New York, New Jersey): Prices rose from ~$3.70/gal to ~$4.40/gal - +$0.70 (+18.9%), driven by higher taxes and import dependency.
California's unique fuel specifications and carbon pricing mechanisms continue to insulate it from the most extreme year-over-year percentage moves, yet its absolute price burden remains unmatched.
Implications for the LNG and Liquid Fuels Ecosystem
The gasoline price surge is not isolated; it reflects broader energy market dynamics that directly impact the LNG value chain. Higher crude prices increase the opportunity cost of feeding natural gas liquids into gasoline production rather than LNG export trains. This creates competitive tension between liquid fuel refining and LNG feedstock allocation, particularly in the U.S. Gulf Coast where both industries cluster.
"The $1.20 per gallon increase represents a fundamental reset in the relative economics of liquid fuels versus gas-based energy carriers. For LNG procurement teams, this signals sustained upward pressure on NGL prices and tighter integrating margins through 2026." - Senior Energy Analyst, Liquid LNG Industry Intelligence
Executives in the LNG sector must monitor gasoline price differentials as a leading indicator for NGL spread compression, which can affect feedstock costing for petrochemical integrators and LNG project economics.
State-by-State Gas Price Averages (May 2026)
The table below illustrates the current geographic price landscape, essential for procurement teams managing fleet costs across multiple regions.
| State | Regular ($/gal) | Mid-Grade ($/gal) | Premium ($/gal) | Diesel ($/gal) |
|---|---|---|---|---|
| California | $6.040 | $6.281 | $6.461 | $7.322 |
| Hawaii | $5.646 | $5.892 | $6.078 | $6.512 |
| Alaska | $5.235 | $5.486 | $5.699 | $5.802 |
| Washington | $5.124 | $5.367 | $5.542 | $5.891 |
| Nevada | $4.892 | $5.134 | $5.312 | $5.623 |
| New York | $4.512 | $4.789 | $4.978 | $5.234 |
| Texas | $3.987 | $4.356 | $4.678 | $4.912 |
| Florida | $4.123 | $4.489 | $4.789 | $5.012 |
Data source: AAA National Retail Prices, May 30, 2026.
For LNG industry stakeholders, the gasoline price trajectory serves as a critical signal for feedstock cost dynamics and the evolving economics of integrated energy portfolios. Monitoring these differentials remains essential for strategic procurement and long-term contract negotiations.
Key concerns and solutions for Gas Prices 1 Year Ago Vs Now The Shock Comparison
What was the average gas price 1 year ago?
The national average for regular unleaded gasoline in late May 2025 was $3.162 per gallon, according to AAA fuel price data.
How much have gas prices increased in the past year?
Gas prices have risen by $1.194 per gallon (37.8%) from May 2025 ($3.162) to May 2026 ($4.356), marking the largest year-over-year jump since 2022.
Why are gas prices higher now than last year?
Higher prices stem from rising crude oil costs (~$15/barrel increase), refinery capacity constraints, summer fuel blend transitions, increased LNG export competition for NGLs, and geopolitical risk premiums.
Which state has the highest gas price now?
California has the highest regular gasoline price at $6.040 per gallon as of May 30, 2026, followed by Hawaii at $5.646 and Alaska at $5.235.
Will gas prices go down in the next 6 months?
Analysts expect prices to remain elevated through Q3 2026 due to sustained summer demand, limited refinery additions, and ongoing geopolitical supply risks; a meaningful decline is unlikely before late 2026 unless crude oil drops below $70/barrel.
How does the current gas price compare to the 2022 peak?
The current national average of $4.356 remains below the June 2022 peak of $5.018 per gallon, but is now the highest since late 2023, reflecting a new plateau in post-pandemic energy markets.
