Gasoline prices could fall to $3 a gallon this summer from a nationwide average of around $3.50 today, a far cry from the $5 per-gallon calls made earlier this year, experts say.

Waning tensions with Iran and a cooling economy are sending global crude prices falling.

According to the AAA Daily Fuel Gauge Report, a gallon of regular gasoline is averaging $3.505.

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"We could get close to $3 and in many places lower than $3. It could very easily go down another 30 cents by the end of the summer," says Phil Flynn, senior market analyst at Price Futures Group, according to Fox Business Network.

Aside from sluggish demand thanks to economic uncertainty, abundant supplies are pushing prices further.

"The U.S. is producing the most oil since the 1960s and that should keep the prices down," Flynn says.

Weaker economies need less fuels to power their factories, utilities, businesses and commuters.

The European debt crisis is also keeping demand for energy at bay, other experts say.

"Debt issues in Europe tend to alleviate high oil prices," says Patrick DeHaan, senior petroleum analyst at gasbuddy.com.

Tension with Iran have been waning and have eased prices at the pump as well.

The West accuses Iran of developing a nuclear weapons program, a charge Tehran denies.

The standoff earlier this year hit a fever pitch when Iran threatened to close off the Strait of Hormuz, a narrow waterway connecting oil-rich Persian Gulf nations with the rest of the world.

Delegates from the U.S., U.K., China, France, and Russia and Germany recently concluded talks with Iranian officials to diffuse a standoff involving Iran's nuclear plans, with a first round taking place in Baghdad and a second round wrapping up in Russia.

Iran is demanding the world ease up on sanctions, including bans on its oil exports, before backing off of its nuclear program.

Still, Iran says it will seek to keep on enriching uranium for energy purposes though it might agree to hold off on enriching at 20 percent purity, the level where the element can be used for weapons-grade purposes.

"Our minimum demand ... is for them to recognize our right to uranium enrichment," an anonymous Iranian delegate tells the AP.

"If this is not accepted by the other side, then the talks will definitely collapse."

Editor's Note: How You Lost $85,000 During the Last Decade. See the Numbers.