San Diego, December 30, 2025
As we close out 2025, gas prices across the U.S. have dropped significantly, with the national average for unleaded gasoline falling to $2.83 per gallon. This marks a 1.1% decrease from the previous week and a notable 6.6% decline compared to last year, representing the lowest December average since 2020. Consumers can expect relief as diesel prices also see a slight decrease. Regional variations reveal a range of gas prices, with some cities experiencing much higher costs, particularly in California.
Gas Prices in the U.S. Hit Year-End Lows
San Diego, CA – As we close out 2025, good news is here for consumers as gas prices across the United States continue to decline. The national average for unleaded gasoline has fallen to $2.83 per gallon, a 1.1% decrease from the previous week and a significant 6.6% drop compared to the same time last year. This price represents the lowest December average since 2020, providing much-needed relief heading into the New Year. Diesel prices have also decreased slightly, now averaging $3.55 per gallon, down 1.0% week-over-week, but reflecting a 1.4% increase compared to last year.
This drop in gas prices highlights a positive trend, showcasing the resilience of the market and suggesting that stability in fuel costs can bolster not just consumer spending but also small businesses that rely heavily on transportation and logistics. With the national gas price dipping below previous highs, this is an opportune moment for California entrepreneurs to thrive, especially among those facing the cost pressures of inflation in other areas.
Examining Regional Price Differences
Gas prices are not uniform across the country; there are significant variations based on geography. On the lower end, Des Moines, Iowa, and Casper, Wyoming, boast some of the cheapest gas at $2.08 per gallon. In stark contrast, Lihue (Kauai), Hawaii, reports the highest prices at $4.97 per gallon. Other California cities are not far behind in terms of high prices, with Napa averaging $4.45 and San Luis Obispo-Atascadero-Paso Robles at $4.48. San Diego itself is experiencing higher gas prices, with the average at $4.49 per gallon, highlighting the ongoing challenges that local consumers face.
Influencing Factors Behind Price Movements
The recent decrease in gas prices can be attributed to a stable supply in the crude oil market. The West Texas Intermediate crude hovering below $60 per barrel has played a significant role in stabilizing prices, allowing consumers and businesses some breathing room as they navigate the overall increased costs of living. However, while gas prices are coming down, consumers continue to feel the pinch from rising prices in other sectors such as food and holiday items, which remain under pressure from ongoing inflation and tariffs.
Historical Context: A Rollercoaster of Prices
Understanding the fluctuations in gas prices requires a look back at the recent past. In June 2022, gas prices peaked at a staggering $5.02 per gallon, leaving consumers and businesses scrambling. Comparatively, the current national average of $2.83 demonstrates a marked recovery and the potential for economic growth without the burden of exorbitant fuel costs. Such dips can assist our local entrepreneurs by promoting better cash flow and stabilizing operational expenses.
FAQ
What is the current national average gas price in the U.S.?
As of December 30, 2025, the national average for unleaded gasoline is $2.83 per gallon.
Which U.S. city has the highest gas price?
Lihue (Kauai), Hawaii, has the highest gas price at $4.97 per gallon.
What factors are contributing to the recent decline in gas prices?
The decline in gas prices is attributed to stable supply and crude oil prices, with West Texas Intermediate crude staying under $60 per barrel.
What was the highest recorded gas price in the U.S.?
The highest recorded gas price was $5.02 per gallon on June 14, 2022.
Key Features
| Feature | Details |
|---|---|
| Current National Average Gas Price | $2.83 per gallon |
| Weekly Change | -1.1% |
| Yearly Change | -6.6% |
| Highest Recorded Gas Price | $5.02 per gallon on June 14, 2022 |
| Lowest Gas Prices by City | Des Moines, IA and Casper, WY at $2.08 per gallon |
| Highest Gas Price by City | Lihue (Kauai), HI at $4.97 per gallon |
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Author: STAFF HERE SAN DIEGO WRITER
The SAN DIEGO STAFF WRITER represents the experienced team at HERESanDiego.com, your go-to source for actionable local news and information in San Diego, San Diego County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Comic-Con International, San Diego County Fair, and San Diego Pride Festival. Our coverage extends to key organizations like the San Diego Regional Chamber of Commerce and United Way of San Diego County, plus leading businesses in biotechnology, healthcare, and technology that power the local economy such as Qualcomm, Illumina, and Scripps Health. As part of the broader HERE network, including HEREAnaheim.com, HEREBeverlyHills.com, HERECostaMesa.com, HERECoronado.com, HEREHollywood.com, HEREHuntingtonBeach.com, HERELongBeach.com, HERELosAngeles.com, HEREMissionViejo.com, and HERESantaAna.com, we provide comprehensive, credible insights into California's dynamic landscape.
