Gas Prices Hit 2024 Lows: National and Oregon Averages Plummet!
Gas prices in the United States are continuing to decline, nearing their lowest points of 2024. The national average price for regular gas has dropped by two cents this week, settling at $3.08 per gallon.
Oregon’s average has also seen a decrease, falling three cents to $3.59 per gallon. Experts predict that both the national and Oregon averages could dip below their year-to-date lows in the coming days.
Marie Dodds, the public affairs director for AAA Oregon/Idaho, highlighted that Oregon’s current average of $3.59 per gallon is a significant drop from the year’s starting price of $3.79.
The national average, which began the year at $3.11, is now just three cents away from its lowest mark of $3.07, recorded in January.
Historically, gas prices tend to drop in the fall as the transition from summer-blend to winter-blend fuel begins. Winter-blend fuel, which is less expensive to produce, became available in many regions on September 15, while California continues to require summer-blend fuel through October.
Crude oil prices, a major factor in gas prices, have also been fluctuating. The current U.S. crude oil price is around $68 per barrel, down from $72 a week ago and $78 at the same time last year.
The global oil market has been influenced by various factors, including economic challenges in China, production cuts by OPEC+, and ongoing geopolitical tensions such as the war in Ukraine and unrest in the Middle East.
These events have created uncertainty, though they have not caused a significant spike in crude prices recently.
Demand for gasoline in the United States has also decreased, with the U.S. Energy Information Administration (EIA) reporting a drop from 9.16 million barrels per day to 8.82 million barrels per day last week.
Meanwhile, gasoline stocks have slightly increased, contributing to the downward pressure on pump prices. On average, the price of crude oil accounts for about 53% of what drivers pay at the pump, with refining, distribution, marketing, and taxes making up the rest.
Oregon remains one of 49 states and the District of Columbia with lower gas prices compared to last month. While the national average has decreased by 13 cents over the past month, Oregon’s average has dropped by nine cents.
Year-over-year comparisons show an even more significant decline, with Oregon’s average now 63 cents lower than this time last year. This marks the largest year-over-year drop in the nation.
On the West Coast, gas prices remain among the highest in the country, with Hawaii, California, and Washington leading the pack.
| Rank | Region | Price on 11/12/2024 |
| 1 | Hawaii | $4.59 |
| 2 | California | $4.51 |
| 3 | Washington | $4.01 |
| 4 | Nevada | $3.78 |
| 5 | Oregon | $3.59 |
| 6 | Alaska | $3.55 |
| 7 | Pennsylvania | $3.28 |
| 8 | District of Columbia | $3.25 |
| 9 | Illinois | $3.21 |
| 10 | Idaho | $3.21 |
Oregon ranks fifth for the 13th consecutive week, though prices have decreased slightly in the state this week. High transportation costs, tight supplies, and environmental regulations contribute to the consistently elevated prices in this region.
Crude oil production in the U.S. remains at a record high, with output holding steady at 13.5 million barrels per day.
This marks the fourth consecutive week of production at this level. The U.S. has been the world’s leading crude oil producer since 2018, a trend that began with a steady increase in output over the past decade.
Despite the high production rates, crude oil inventories remain about 5% below the five-year average for this time of year.
This week, U.S. crude oil inventories increased by 2.1 million barrels, reaching 427.7 million barrels. Refinery utilization rates have also risen nationally, which can help maintain the current downward trend in gas prices.
Hurricane season, which runs through November, could still impact crude oil prices if major storms disrupt production in the Gulf of Mexico.
However, absent such disruptions, drivers can expect pump prices to remain relatively low through the end of the year.
The AAA Mobile app provides drivers with real-time gas prices, route mapping, and roadside assistance options.
For now, gas prices across the country are offering some relief to consumers, with more states seeing averages in the $2 and $3 range.
Oregon and national averages are on track to hit new lows for 2024, continuing the seasonal trend of declining fuel costs.