The average price of regular gasoline in the United States hit $4.14 a gallon heading into Labor Day weekend, setting a new record high for the holiday.
The previous Labor Day record stood at $3.82 a gallon, set back in 2012, meaning prices have now surged well past that historic benchmark.
Gas prices have never topped $4 per gallon on Labor Day before this year, marking an unprecedented cost burden for Americans planning end-of-summer travel.
The current national average sits nearly a dollar higher than the same period last year, compounding financial pressure on millions of households already stretched thin.
Despite the record holiday price, the national average remains below the all-time high of $5.02 a gallon set in June 2022, according to AAA tracking data.
Diesel prices also reached a historic milestone on Friday, climbing to $5.85 a gallon, the highest level ever recorded for that fuel type.
Both gasoline and diesel are surging because the war in Iran has strangled the supply of oil and gasoline around the world as the Strait of Hormuz, a key thoroughfare for tankers, remains closed.
AAA noted that crude oil prices, which account for roughly half of what consumers pay at the pump, are the primary driver behind the current spike.
Trump administration officials have repeatedly sidestepped questions about the future of fuel prices as the situation in Iran continues to evolve with no resolution in sight.
Energy Secretary Chris Wright, when asked Sunday by Dana Bash on CNN’s “State of the Union,” did not address whether gas prices could keep going up due to continued pressure from the Iran war and the war between Russia and Ukraine, among other factors.
Vice President JD Vance on Friday said people should not expect to see gas prices drop anytime soon, offering little reassurance to consumers hoping for relief at the pump.
The closure of the Strait of Hormuz has sent shockwaves through global energy markets, disrupting tanker routes that are critical to moving oil supplies from the Middle East to the rest of the world.
With no clear timeline for the conflict to end, energy analysts and everyday drivers alike are bracing for prices to remain elevated well beyond the Labor Day holiday weekend.
