COVID-19 Brings Lowest Independence Day Gas Prices Since 2004

If COVID-19 cases start to decline, prices and demand are likely to increase heading into Labor Day.

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(Madison, Ind.) – If you are not planning on taking a road trip this weekend, well you should probably reconsider because this could be the best year to do so.

With the cancelation of many Independence Day events, Americans may be tempted to hit the road for the weekend due to the low gas prices. The projected national average of gas prices should be around $2.17.

GasBuddy reports that with the concerns of a possible second wave of COVID-19 cases, oil prices have turned south, which could result in the overall average price of gasoline to stop rising, meaning some of the lowest Independence Day gas prices since 2004.

 “2020 continues to be anything but a normal year, and low gas prices have persisted into summer’s unofficial halfway point, Independence Day. While gasoline demand has continued to rebound, there is anxiety about the recent surge in new coronavirus cases in the U.S., and that could prevent gas prices from seeing a continued rebound. However, we’re currently in the midst of the lowest summer gas prices we’ve seen in some 15 years,” said Patrick De Haan, head of petroleum analysis at GasBuddy. “For now, expect a roller coaster ride at the pump, but conditions to socially distance and hit the road remain ripe for those able to do so. Prices in all 50 states remain well-below year-ago levels, but should the coronavirus situation improve significantly, gas prices will follow. At the end of the day, I expect this summer to have been the cheapest in well over a decade, so pack your bags, masks, and hand sanitizer and hit the road.”

Gasoline demand has bounced back over 50 percent from the lows seen in April but continues to remain approximately 18 percent lower than prices a year ago.

If COVID-19 cases start to decline, prices and demand are likely to increase heading into Labor Day.

“I’ll reiterate that while forecasting gasoline prices this summer has been the most challenging of any year in GasBuddy’s 20-year history and with the coronavirus situation impossible to predict, I think by Labor Day we could see a national average of $2.25-$2.50 per gallon,” De Haan said.

Below, find the historical national average price per gallon on Independence Day reported by GasBuddy:

2001       2002       2003       2004       2005       2006       2007       2008       2009       2010

$1.44     $1.38     $1.48     $1.87     $2.20     $2.91     $2.94     $4.09     $2.61     $2.71

2011       2012       2013       2014       2015       2016       2017       2018       2019       2020

$3.56     $3.34     $3.48     $3.66     $2.77     $2.27     $2.22     $2.87     $2.76     $2.17*