Fuel savings platform GasBuddy released its annual Labor Day travel forecast, predicting that the average price of gasoline will continue its recent downward trend, falling to $3.27 per gallon on Labor Day, the lowest Labor Day price since 2021.
In southwest Missouri, prices are well below the national average.
At $3.27 per gallon, the national average for this Labor Day would be 50 cents per gallon, or 13 percent lower than last year's $3.77, meaning Americans could save a total of $750 million during the Friday-Monday travel period.
Gasoline prices have stabilized since peaking at $3.69 per gallon in mid-April, as lower demand has helped drive gasoline prices lower. In some states, Labor Day gasoline prices are significantly lower this year than last year. For example, the average gasoline price on the West Coast is more than 65 cents lower than a year ago, with Oregon averaging 90 cents per gallon, Washington 87 cents lower, and Alaska 84 cents lower. Gasoline prices are also expected to be lower over Labor Day weekend than a year ago in all 50 states except the West Coast. According to a GasBuddy summer travel survey conducted in May, Labor Day is the least popular summer holiday for road trips, with just over one-third of respondents planning a road trip to say goodbye to summer.
“With gasoline prices generally lower than last year, drivers had a great summer to drive,” said Patrick de Haan, head of petroleum analysis at GasBuddy. “But heading into Labor Day, the gap from last year widened significantly as refinery outages and heatwaves were largely absent this month. Hurricane season has also been quiet so far. With no threat to major refineries that produce gasoline and diesel, it's becoming more likely that a late-summer price spike will be avoided. While many Americans may wish summer would last forever, the good news is that we're now at our best opportunity for the national average to drop below $3 a gallon. With Thanksgiving approaching, tens of thousands of gas stations should finally drop below that level thanks to lower seasonal demand and cheaper winter gasoline on the horizon.”
Gas stations in most states are scheduled to begin transitioning to winter blend gasoline starting Sept. 16, which will likely contribute to an accelerated drop in gasoline prices. Gas prices fluctuate by state, so motorists who cross state lines should check prices in advance to save up to 50 to 90 cents per gallon. They can also save by adding a fuel loyalty account to the GasBuddy app to save even more at select fueling partners.
