Gasoline prices are expected to fall further by Christmas, offering holiday travelers relief at the pump as national averages trend below last year's levels.
GasBuddy said it expects the national average gasoline price on Christmas Day to be about $2.79 per gallon, down from $3.00 last year, saving drivers more than $500 million during Christmas week compared with 2024.
The group said this would mark another year of improvement for holiday drivers, continuing a downward trend that began after prices peaked earlier in the decade.
GasBuddy attributed the softer holiday pricing to refinery maintenance wrapping up, rising gasoline supplies, and increased oil production from OPEC throughout 2025, which has pushed crude oil prices to multiyear lows in recent weeks.
Even with millions of Americans traveling, winter gasoline demand remains significantly lower than summer levels, helping keep prices in check.
"Christmas is often when gas prices settle near the lowest levels of the year, and 2025 is no exception," said Patrick De Haan, head of petroleum analysis at GasBuddy.
"Refinery maintenance has wrapped up, supplies are rising, and winter demand is much lower than in summer, all of which help keep a lid on prices," De Haan said.
He said that barring unexpected refinery disruptions or global tensions, prices should come in lower than last Christmas and could continue trending down into next year.
The White House said earlier this month that falling gas prices reflect positive changes in economic conditions under President Donald Trump's second term.
In a Dec. 9 statement, the White House said gas prices have fallen to the lowest average level in 1,682 days, with Americans on track to spend the smallest share of disposable income on gasoline in nearly two decades.
The statement said average gas prices have dropped below $3 per gallon in 36 states, below $2.75 in 20 states, and below $2.50 in five states, with some stations in at least four states reporting prices under $2 per gallon.
AAA reported similar trends in its most recent fuel update.
In a Dec. 11 release, AAA said the national average gasoline price fell 5 cents over the previous week to $2.94, the lowest level in four years.
AAA said prices have remained below $3 per gallon since early December and are lower than last holiday season, when the national average stood at $3.04 at the end of 2024.
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