Gas prices remain relatively stable as we approach Thanksgiving with most states seeing prices change by a nickel or less on the week. The national average for regular gas has seen small ups and downs this fall, while the Oregon average has been mostly declining since mid-September and is at its lowest price since March. However, an outage at the Olympic Pipeline may send gas prices higher in the Pacific Northwest. For the week, the national average for regular ticks up half a cent to $3.08 a gallon. The Oregon average dips three cents to $3.79 a gallon.
The Olympic Pipeline, the Pacific Northwest’s primary fuel artery, was shut down last week due to a leak near Everett, Washington. BP, the operator of the pipeline, said crews were working to determine the cause. The system consists of two parallel pipelines in the area, which were completely shut down after the product discharge was discovered, according to a company spokesperson. BP says the pipeline resumed limited operations on Sunday. The 400-mile pipeline system carries gasoline, diesel and jet fuel from refineries in Washington State to Portland. An outage on the pipeline in September caused gas prices in Oregon and Washington to soar.
“For now, impacts from the latest pipeline shutdown appear to be minimal but that could change depending on how long the outage lasts,” says Marie Dodds, public affairs director for AAA Oregon/Idaho. “So far, the Oregon average has only risen about a cent since the outage occurred. That’s good news for drivers who are expected to hit the road in record numbers for Thanksgiving.
AAA expects record travel for Thanksgiving 2025 with 81.8 million Americans (23.9% of the population) including about 1.17 million Oregonians heading over the river and through the woods for turkey and all the trimmings. This is a 2% increase over last year. Nearly 90% of travelers will drive, more than 7% will fly, and the rest will go by bus, train or take a cruise. Find all the details in the AAA Thanksgiving travel news release.
The Oregon average for regular gas began 2025 at $3.45 a gallon and is currently at $3.79. The highest price of the year so far is $4.297 on September 13 and 14. The lowest price of the year so far is just under $3.45 a gallon on January 2.
The national average began 2025 at $3.06 a gallon and is currently at $3.08. The highest price of the year so far is $3.268 on April 4. The lowest price of the year so far is $3.036 on October 19 and 20.
This week two Oregon counties have averages at or above $4, compared to four a week ago:
Multnomah $4.
Wallowa $4.
Demand for gasoline in the U.S. gasoline demand increased from 8.87 million b/d to 9.03 million b/d for the week ending November 7. This compares to 9.38 million b/d a year ago. Total domestic gasoline supply decreased from 206 million barrels to 205 million. Gasoline production increased last week, averaging 9.9 million barrels per day compared to 9.8 million the previous week.
Gas prices usually drop in the fall, due to the switch from summer-blend to winter-blend fuel, which costs less to produce. The switch starts in September. Many areas, including Oregon, can sell winter-blend fuel starting September 15. However, Northern and Southern California require summer-blend fuel through October 31. Prices usually decline to their lowest levels of the year in late fall and early winter before increasing again in the late winter and early spring.
Gas prices typically rise starting in mid-to-late winter and early spring as refineries undergo maintenance ahead of the switch to summer-blend fuel, which is more expensive to produce and less likely to evaporate in warmer temperatures. The switch occurs first in California, which is why pump prices on the West Coast often rise before other parts of the country. The East Coast is the last major market to switch to summer-blend fuel. Most areas have a May 1 compliance date for refiners and terminals, while most gas stations have a June 1 deadline to switch to selling summer-blend until June 1. Switch-over dates are earlier in California with some areas in the state requiring summer-blend fuel by April 1. Some refineries will begin maintenance and the switchover in February.
The U.S. price of crude oil (West Texas Intermediate) has been in the upper $50s and lower $60s this fall. WTI rose above $60 on October 23 for the first time since October 10 and remained above $60 until closing at $59.60 on November 5. Crude climbed above $60 again last week as a deal was struck to end the U.S. government shutdown.
WTI has been mostly in the low-$60s to mid-$70s since September 2024. Crude prices spiked to the mid-$70s in mid-June in response to the strikes between Israel and Iran, and then the U.S. strike on Iran’s nuclear facilities, but then prices fell back into the $60s on the belief that the conflict would not have a major impact on global oil supplies. Crude prices fell in early April as markets reacted to President Trumps tariffs and the impact on U.S. and global markets. Additional downward pressure on crude prices came after the decision by OPEC+ to increase production. The lowest closing price since September was $57.13 on May 5, which was the lowest closing price since February 2021. The recent high price for crude was $80.04 per barrel on January 15, which was the highest price since last August 2024.
Crude oil is trading around $60 today compared to $61 a week ago and $69 a year ago. In 2024, West Texas Intermediate ranged between $66 and $87 per barrel. In 2023, WTI ranged between $63 and $95 per barrel. WTI reached recent highs of $123.70 on March 8, 2022, shortly after the Russian invasion of Ukraine, and $122.11 per barrel on June 8, 2022. The all-time high for WTI crude oil is $147.27 in July 2008.
Crude prices are impacted by economic news as well as geopolitical events around the world including the current economic uncertainty, unrest in the Middle East, the war between Israel and Hamas, and the war between Russia and Ukraine. Russia is a top global oil producer, behind the U.S. and Saudi Arabia. Crude prices have been volatile after the attack on Israel by Hamas in October 2023. While Israel and the Palestinian territory are not oil producers, there were concerns that the conflict could spread in the Middle East, which could potentially impact crude production in other oil-producing nations in the region. Crude oil prices declined after October’s fragile peace agreement between Israel and Hamas. In addition, production cuts by OPEC+ in previous years tightened global crude oil supplies, which continued to impact prices. But this year, the cartel has boosted production starting by 411,000 barrels per day in May, June, and July, 548,000 barrels per day in August, 547,000 barrels per day in September, and 137,000 barrels per day in October, November and December.
Crude oil is the main ingredient in gasoline and diesel, so pump prices are impacted by crude prices on the global markets. On average, about 48% of what we pay for in a gallon of gasoline is for the price of crude oil, 18% is refining, 18% distribution and marketing, and 16% are taxes, according to the U.S. Energy Information Administration.
Meanwhile, crude oil production in the U.S. remains at or near record highs. The U.S. Energy Information Administration (EIA) reports that crude production in his country rose from 13.651 million barrels per day to 13.862 for the week ending October 31. Production has been at 13.5 million barrels per day many times since October 2024. The U.S. has been the top producer of crude oil in the world since 2018 and has been increasing its oil production since about 2009.
Quick stats
Oregon is one of 23 states with lower prices now than a week ago. Nevada (-10 cents) has the largest week-over-week decline in the nation. Delaware (+9 cents) has the biggest week-over-week increase in the nation.
California ($4.65) is the state with the most expensive gas in the nation for the ninth week in a row. Washington took over the top spot for a week in September when the Olympic Pipeline was out of operation. This week, Hawaii ($4.48) is second, and Washington ($4.18) is third. These are the only states with averages at or above $4 a gallon. This week 21 states and the District of Columbia have averages in the $3-range. There are 26 states with an average in the $2 range this week.
The cheapest gas in the nation is in Oklahoma ($2.53) and Mississippi ($2.61) and. No state has had an average below $2 a gallon since January 7, 2021, when Mississippi and Texas were below that threshold. At the time, the COVID-19 pandemic drove significant declines in crude oil and gasoline demand in the U.S. and around the world.
The difference between the most expensive and least expensive states is $2.12 this week, compared to $2.14 a week ago.
Oregon is one of 22 states with lower prices now than a month ago. The national average is four cents more and the Oregon average is 24 cents less than a month ago. This is the second-largest month-over-month decline for a state in the nation, behind Washington (-24 cents). Michigan (+29 cents) has the largest month-over-month increase in the nation.
Oregon is one of 22 states with higher prices now than a year ago. The national average is nearly one cent more, while the Oregon average is 26 cents more. Oregon has the second-largest year-over-year increase in the nation. Alaska (+27 cents) has the largest increase. Colorado (-22 cents) has the largest yearly drop.
