Pump prices expected to be lower for the holidays

VW independent staff/submitted information

If you’re planning on gassing up and heading out for the holidays, you may find a nice gift at the pump this Christmas.

GasBuddy expects the national average on Christmas Day to land near $2.79 per gallon, below last year’s price of $3, saving motorists over half a billion dollars during the Christmas week compared to last year. While 2024 previously represented the lowest Christmas Day price since 2020, this year continues that trend.

The softer holiday pricing comes as refinery maintenance winds down and gasoline supplies rise, easing some of the pressure that typically builds earlier in the year. In addition, OPEC has been increasing oil production for much of 2025, pushing crude prices to multi-year lows in the weeks leading up to Christmas.

Even with millions of Americans traveling for the holidays, winter gasoline demand remains far lower than in the summer. While unexpected refinery issues or international tensions could still introduce volatility, the overall backdrop is far more favorable for Christmas travelers than it was a few years ago when the re-opening economy surged prices.

“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. For those traveling across state lines, keep in mind the extreme volatility in prices that can occur between states and save yourself 20-80 cents per gallon by filling up on the cheaper side.”

Holiday Travel Tips for Drivers

• Check the GasBuddy app to find the best price: Gas prices can vary 10 to 25 cents per gallon nearby and over 50 cents per gallon on longer trips. Always compare prices before deciding where to fill up.
• Watch state lines: Tax differences can swing prices 20 to over 80 cents per gallon. Plan fill-ups before crossing into higher-priced states.
• Take advantage of loyalty programs: Many gas stations offer discounts for joining their loyalty programs.
• Drive efficiently: Using cruise control and maintaining steady speeds can improve fuel economy by up to 15 perent on long holiday drives.