Average US Gasoline Price Climbs to $4.16 a Gallon Amid Iran War

Prices are up almost 20 percent from a month ago. The last time they were this high was in August 2022.

A gas station in Los Angeles on March 11, 2026. John Fredricks/The Epoch Times

The national average price for regular gasoline hit $4.16 per gallon on April 9, up eight cents on a weekly basis, and at a level last seen in August 2022.

Gasoline prices have risen as global crude oil prices surged amid the Iran conflict.

“Crude oil prices remain high, even as they’ve fluctuated in recent days following the announcement of a two-week ceasefire between the U.S. and Iran,” the American Automobile Association (AAA) said in an April 9 statement. “The price for a barrel of crude dropped below $100 but then rose again, highlighting the volatility of oil markets and fluidity of geopolitical events.”

Current gas prices are nearly 20 percent higher than the $3.47 per gallon a month back, AAA data show.

In five states, prices have already exceeded $5 per gallon for regular gas—California, Hawaii, Washington, Oregon, and Nevada.

The U.S.-Israel attack on Iran, which lasted for over a month and is currently in a ceasefire agreed upon Tuesday, has rattled energy markets. Brent crude oil futures had ended April 7 at around $109 per barrel, up from roughly $72 on Feb. 27, a day before the United States and Israel launched coordinated strikes against the Iranian regime, kicking off the latest phase of the conflict.

Prices have dropped below the $100 level following the ceasefire agreement, with Brent crude oil futures trading at $96.13 per barrel on Thursday as of 9:40 p.m. ET.

Oil prices are now likely to be influenced by how the ceasefire and negotiations conducted during this period pan out.

Mines in the Strait

The two-week ceasefire is conditional on Iran ensuring the safe reopening of the Strait of Hormuz, a critical oil shipping waterway. The Iranian regime has been blocking the strait since the war began, which contributed to global oil prices spiking.

Iran announced on Thursday that the strait is open to all civilian shipping but warned that vessels must coordinate with its forces due to the mines placed by Tehran along the waterway, and other hazards. Iranian state broadcaster IRIB published a chart of “designated routes” in the strait, marking an area as a “danger zone,” suggesting the presence of mines.

Despite Iran declaring the reopening, shipping through the strait remains near a standstill, with only a few vessels passing through.

On Wednesday, President Donald Trump wrote in a Truth Social post that warships and military personnel will remain at their posts in the region “until such time as the REAL AGREEMENT reached is fully complied with.”

“If for any reason it is not, which is highly unlikely, then the ‘Shootin’ Starts,’ bigger, and better, and stronger than anyone has ever seen before,” Trump wrote. “It was agreed, a long time ago, and despite all of the fake rhetoric to the contrary—NO NUCLEAR WEAPONS and, the Strait of Hormuz WILL BE OPEN & SAFE.”

In response to unconfirmed reports suggesting Iran is charging fees to vessels passing through the strait, Trump warned in an April 9 Truth Social post that Iran “better not be” charging fees and that it “better stop now.”

Vice President JD Vance and special envoys Jared Kushner and Steve Witkoff are scheduled to meet with Iranian representatives in Islamabad beginning Saturday to negotiate a truce to end the war.

Investors will be closely monitoring the talks, with any indication of prolonged conflict potentially sending oil prices higher.

However, the damage done by the war could keep oil prices higher even if the conflict were to cease. At the IMF-World Bank Spring Meetings on Thursday, International Monetary Fund chief Kristalina Georgieva said that supply disruptions were already triggering “warning lights flashing red” for refineries.

The shock will lead to higher oil prices and rising inflation expectations, Georgieva warned.

In an April 9 post, ING Bank said, “With a full reopening of the strait unlikely in the near term, oil prices are expected to remain supported, as disruptions linked to reduced output and refinery shutdowns will take time to unwind.”

Eric Nuttall, senior portfolio manager at investment management company Ninepoint Partners, said in an April 9 X post that Middle East oil production is already down by 13 million barrels per day, calling the reduction “unprecedented.”

“It will take at least 2 months once fully open to restore production. Over that time the world will lose 780MM Bbls,” he said.

The Trump administration has taken various steps to cool down oil prices. Last month, it issued waivers allowing Russia and Iran to sell their crude oil and petroleum products stranded at sea to ease the supply crunch arising from the war. The United States also announced the release of 172 million barrels of oil from its reserves.