Gasoline retail price per month in the U.S. 2022-2024, by fuel grade

U.S. gasoline prices of all grades decreased in January 2024. Gasoline prices are tightly linked to crude oil market performance. The decrease noted throughout winter 2023/24 is a reflection of current production levels being able to meet lowered demand outlooks. In the period of consideration, gasoline prices reached their highest level in June 2022 when sanctions on Russian energy imports led to supply constraints.

Differences in fuel grades

Fuel grades at U.S. gas stations are differentiated by octane level. 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. Gasoline-run engines are able to run on blends with a bio-ethanol percentage of up to 25 percent.

Gasoline prices reach historic high

Primarily a result of the Russia-Ukraine war and inflation, the annual retail price of gasoline reached a new historic high in 2022, climbing to nearly four U.S. dollars per gallon. In the span of two years, average prices almost doubled.