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U.S. Gas Prices Climb to Mid-$4s as Record Fuel Exports Drain Inventories

Supply shocks from the Strait of Hormuz are keeping fuel costly.

Overview

  • AAA’s national average for regular gasoline reached about $4.54 per gallon Wednesday, the highest since mid‑2022 and roughly 50% above pre‑war levels.
  • U.S. fuel exports hit a record 8.2 million barrels per day in the latest EIA report as producers filled global gaps, and government data showed crude, gasoline and diesel stocks fell.
  • Disrupted traffic through the Strait of Hormuz, a corridor that once carried about one‑fifth of the world’s seaborne oil, has tightened supply and raised costs that flow through to U.S. pumps.
  • Price pain is uneven, with California averaging about $6.16 per gallon and one South San Francisco station posting $7.89 for regular, while lower‑cost states like Louisiana hover near $4.
  • Analysts say pump prices will ease slowly even if crude falls or the waterway reopens because stations sell through higher‑priced inventories and damaged regional infrastructure will take months to repair.