Current AAA Gas Prices: What Drives Fuel Costs in 2025
Current AAA Gas Prices: What’s Driving Costs in 2025?
AAA gas prices have stayed elevated throughout 2025, averaging around $3.95 per gallon nationally—a significant jump from pre-pandemic levels. Understanding the factors behind these prices helps drivers make smarter decisions and anticipate future trends.
Key Influences on AAA’s Gas Pricing
The primary drivers of current AAA gas prices include international crude oil benchmarks, refining margins, and federal and state fuel taxes. Crude oil prices, influenced by OPEC+ production decisions and geopolitical tensions, remain a major cost component. In 2025, Brent crude hovered near $85 per barrel, pushing retail prices higher.
Refineries nationwide face rising operational costs due to stricter environmental regulations and maintenance delays, which reduce supply and squeeze margins. These increased refining costs directly translate to higher pump prices at AAA stations.
The Role of Taxes and Regional Variations
State and local taxes make up roughly 30–40% of the final gas price. For example, states like California charge over 70 cents per gallon in taxes and fees, compared to around 20 cents in states with lower tax rates. AAA’s pricing reflects these regional differences, with prices varying significantly across the U.S.
Even within the same state, prices fluctuate based on station ownership, proximity to refineries, and local competition. This explains why AAA prices in urban areas may differ from rural outlets.
How to Reduce Exposure to Price Volatility
Drivers can minimize the impact of high gas prices by planning refueling around off-peak hours, using fuel price apps, and considering fuel-efficient vehicle maintenance. AAA offers members exclusive discounts and real-time price alerts, helping users find the best deals across their region.
Understanding the root causes empowers smarter fuel choices and supports long-term savings in today’s volatile market.
Take control of your fuel costs today—check AAA’s real-time pricing map and start saving at the pump.