We could expect to pay $12 billion less for gas this year compared to 2024

The new year has brought with it price drops for gasoline. Americans are expected to spend about $12 billion less at the pump in 2025 compared to last year.

“Seasonality for diesel prices could continue to go up as we get into 2025. Diesel prices tend to peak in the colder months when heating oil demand is higher, diesel’s lower prices will be expected this summer with potentially summer diesel prices falling into the low $ 3-gallon range. Gasoline prices by the end of 2025 may again drop below $3 a gallon,” said Patrick De Haan with GasBuddy.

De Haan warns there is some uncertainty with fuel prices moving forward and the new Administration. He says President Trump’s tariff plan could pose some risks, but he notes Trump’s willingness to drill for oil will help prices slightly, but not by much.

Related Stories
Brooks York with AgriSompo joined us with his outlook on crop insurance and risk management following the recent winter storm that tore through most of the United States, including the Midwest.
Payment totals alone do not show financial stress — production costs and net losses complete the picture.
Year-round E15 remains on the table, but procedural caution and competing regional interests pushed action into a slower, negotiated path.
A mid-January winter storm delivered snow, ice, and extreme cold to a broad swath of the U.S., disrupting transportation, stressing livestock systems, and adding cost and complexity to winter farm operations as producers look toward spring.
Heavier weights and strong late-year slaughter supported December production, but lower annual totals highlight ongoing supply tightness heading into 2026.

LATEST STORIES BY THIS AUTHOR:

Cattle markets are watching the Cattle-on-Feed Report for signs of tighter supplies, while USMEF warns limited China access is cutting producer profits.
USDA Undersecretary Luke Lindberg outlines the Farm Bridge Assistance Program and responds to calls from lawmakers and ag leaders for more assistance and expanded trade opportunities for farmers.
Callahan is no stranger to agricultural trade and has been with the U.S. Trade Representative’s office since 2016.
The Pet and Livestock Protection Act now moves to the Senate for consideration.