Monthly retail price of gasoline in the United States 2022

Gasoline prices in the United States of all grades followed similar trends between March 2019 and March 2022, reaching their highest level in March 2022 due to the Russian invasion of Ukraine, which led to a rise in crude oil prices. These prices were on average at its highest in 2022 since 2018. In contrast, April 2020 recorded an average of 1.95 U.S. dollars per gallon. The continuous inexpensiveness of fuel between March and May 2020 is attributed to low demand amid the coronavirus pandemic.

Impact of Covid-19 on fuel prices

The cost of gasoline in the United States is dictated by the supply and cost of light crude oil. As crude oil demand halted due to the COVID-19 pandemic, oil prices plummeted, making gasoline in the U.S. its cheapest in nearly 20 years. In April 2020, gasoline demand in the United States was half of what it was in April 2019. Over one year on, the price of gasoline has reached its highest level in 2022. This inflation was bolstered by the war in Ukraine, which increased uncertainty regarding crude oil supplies as some countries depend on Russian exports of the commodity. Daily regular gas prices in the U.S. had climbed over the four U.S. dollars threshold in March 2022.

Differences in fuel grades

Fuel grades at U.S. gas stations are differentiated by the octane level of the gasoline. Higher grade fuels have higher octane levels, meaning that the fuel can be compressed more in the engine. This enables high-performance engines to create more power. Fuel may also vary from state to state and pump to pump. Some cities also have regulations on gasoline in order to improve air quality. Bio-ethanol is added to gasoline in some cases to meet the renewable fuel standard. The content of bio-ethanol is not regulated but can be around 10 percent.