The average price of gas across the United States fell to its lowest level since January on Thursday, a number lower than the average price one year ago.

What You Need To Know

  • The average price of gas across the United States on Thursday was lower than the average one year ago

  • It’s the lowest level since January, the month before Russia’s Vladimir Putin invaded Ukraine

  • European countries this week moved to squeeze Putin’s profits from oil sales by setting a $60 price cap on barrels of Russian oil, a move that experts have warned could cause gas prices to tick back up

  • The recent decline is saving American families with two cars about $170 a month, said White House press secretary Karine Jean-Pierre

According to AAA, the price of a gallon of gas now averages $3.329, lower than 2021’s Dec. 8 average of $3.343. Diesel prices are averaging $5 per gallon.

It’s the lowest level since January, the month before Russia’s Vladimir Putin invaded Ukraine, which caused global oil prices to spike. The highest average price per gallon in history was recorded this June, at $5.016.  

The recent decline is saving American families with two cars about $170 a month, said White House press secretary Karine Jean-Pierre.

“President Biden committed to addressing Putin's tax hike at the pump, and he is doing just that,” she said in the briefing room on Wednesday.

U.S. sanctions on Russian oil and similar moves from European countries in the weeks after the Ukraine invasion created a global shortage, sending prices higher.

Russia has historically been the main supplier of oil to Europe, accounting for the vast majority of eastern Europe’s supply and more than 25% of imports for major economies like Germany.

European countries this week moved to squeeze Putin’s profits from oil sales by setting a $60 price cap on barrels of Russian oil, a move that experts have warned could cause gas prices to tick back up.

But Russia is also likely to keep selling above the cap to countries like China and India, meaning any global impact could be minimal.

In 12 U.S. states, prices are even lower than the national average at $2.99 per gallon or less, according to tracker website GasBuddy.

The average price in each state includes:

  • Alabama - $2.971

  • California - $4.621

  • Florida - $3.211

  • Hawaii - $5.173

  • Kentucky - $3.038

  • Maine - $3.649

  • Massachusetts - $3.609

  • Missouri - $2.886

  • New York - $3.653

  • North Carolina - $3.104

  • Ohio - $3.164

  • Texas - $2.761

  • Wisconsin - $2.942