US Drivers Face Record-High Gasoline Prices Over Labor Day Weekend
US gasoline prices are set to hit a record high for Labor Day weekend, exceeding $4 a gallon nationally for the first time.
Americans are confronting the most expensive gasoline prices ever recorded for the Labor Day weekend, a development that is adding financial strain to households and becoming a key political issue. The national average price at the pump is projected to reach $4.03 on the holiday, surpassing the previous record of $3.83 per gallon set in 2012, according to data from GasBuddy.
Prices have been driven upward by a combination of factors, including elevated crude oil costs. Oil prices have climbed back above $90 a barrel following renewed military action between the US and Iran, which has revived concerns about potential disruptions to global supplies. The cost of refined products like diesel and heating oil has also risen, partly due to ongoing attacks on Russian refining facilities.
For many motorists, the high prices are forcing difficult choices. Randi O'Brien, a Colorado resident who drives a daily 40-minute round trip to work, said she could only afford to put $15 worth of fuel in her truck. She and others point to the surge in US exports of refined products, which are up more than 10% from last year, as a reason domestic prices remain high.
In Houston, Madison Moore said the cost of fuel has led her to scale back travel plans for the holiday weekend. "You would think that our government can do a little bit more for their people when they actually need it," she said.
Analysts say the high prices are primarily a supply issue. US refinery utilization is at its highest level since 2018, leaving little room to boost output. The government has already taken steps like extending a Jones Act waiver and ending summer-blend gasoline requirements early to try to ease prices. Gasoline inventories remain below the five-year average for August.
The impact extends beyond the pump. Diesel prices have hit new records, and air travelers are expected to pay 20% more for tickets than they did a year ago. With few levers left to pull, experts warn that relief may not come soon.