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Dollar Metal Markets

State-by-state view of gas prices as Iran war pushes oil markets higher

April 2, 2026
in News & Events
State-by-state view of gas prices as Iran war pushes oil markets higher
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Gas prices are climbing fast nationwide, adding pressure to already strained household budgets as conflict with Iran drives up global oil costs.

Prices are rising across nearly every region, with some states already well above the national average.

As of April 1, the national average for regular gasoline stood at $4.06 per gallon, according to AAA – up $1.08 from a month earlier. 

On the West Coast, drivers are seeing the highest costs, with prices reaching $5.89 per gallon in California and $5.35 in Washington. 

On the East Coast, gas prices are approaching or exceeding $4 in several areas, including $4.19 in Washington, D.C., and $3.98 in New York. 

In the Midwest, Illinois stands out at $4.25 per gallon, while much of the region remains in the mid-$3 range. Southern states remain cheaper overall, though prices are rising. Texas averages about $3.77 and South Carolina at $3.90, while Florida is higher at $4.21.

Meanwhile, diesel is outpacing gasoline due to its link to freight and industry, meaning increases can ripple through supply chains and raise costs across the economy.

Diesel currently stands at $5.49 a gallon, up $1.73 from a month ago, according to AAA, surpassing $5 for the first time since December 2022 as the war in Iran continues to disrupt global energy supplies.

“Gas prices could indeed fall, but are highly unlikely to go back to their pre-war levels for months, in part due to the amount of time needed for global inventories to build back,” wrote Patrick De Haan, head of petroleum analysis at GasBuddy.

De Haan said seasonal factors are also working against drivers. Demand typically rises heading into the summer months, while refinery maintenance and the switch to summer gasoline blends can further push prices higher.

With the midterm elections approaching, the rise in energy and housing costs could pose a challenge for President Donald Trump, who has pledged to make life more affordable for American families.

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