Experts predict that 2026 will see the cheapest gas prices in the U.S. since 2020, averaging $2.97 per gallon nationally, according to GasBuddy.

This would mark the fourth consecutive year of declining prices and the first time the annual average falls below $3 since before the COVID-19 pandemic.

Americans are expected to spend roughly $11 billion less on gasoline than in 2025, with households averaging just over $2,000 for the year.

Ten states, including Texas, Alabama, and Tennessee, are forecast to see annual averages below $2.75 per gallon, KTSM has reported.

Falling crude prices—expected to average $51 a barrel in 2026 after a 20% drop in 2025—are the main driver behind the lower gas costs, and recent events in Venezuela are unlikely to affect the outlook in the short term.