The average price for a gallon of gasoline has continued to creep upwards in the United States and it hit $2.85 by March 15, according to the U.S. Energy Information Administration. It was as low as $1.77 last April. Increasing oil prices are the primary factor behind higher gasoline prices. In the early days of the pandemic, demand for oil plummeted amid a drastic reduction in travel. As the U.S. continues to make progress with its vaccination campaign, demand for oil is climbing once again, as are prices, resulting in higher costs at the pump.
Reduced refining capacity also influences gasoline prices and recent increases have also been linked to the winter storm that struck Texas, severely impacting operations at several refineries. Winter and summer also play a role with winter blends cheaper to produce. That traditionally leads to an increase in the gas price between January and May. As irritating as the current price is for U.S. drivers, it is still far off the record price recorded which was $4.11 in July of 2008.
This chart shows the average weekly price of gasoline in the U.S.
