Michigan gas prices have dropped by 12 cents over the past week, bringing the cost of regular unleaded gasoline just below $3 per gallon—a new low for 2025—according to AAA-The Auto Club Group, which released its report on Monday.
At an average price of $2.96 per gallon, Michigan drivers are paying 7 cents less than a month ago and 49 cents less than this time last year.
Filling up a standard 15-gallon tank now costs motorists an average of $44.
Data from the Energy Information Administration (EIA) indicates that gasoline demand has increased, rising from 8.23 million barrels per day to 8.45 million. Meanwhile, total domestic gasoline supplies saw a slight increase, moving from 247.9 million barrels to 248 million barrels, despite a decline in gasoline production, which averaged 9.2 million barrels per day.
Additionally, EIA data shows U.S. crude oil inventories dropped by 2.3 million barrels from the previous week. At 430.2 million barrels, crude oil stocks are currently about 4% below the five-year average for this time of year.
“Motorists across Michigan are seeing some of the lowest pump prices so far in 2025,” said Adrienne Woodland, in Monday’s report.
The current average price in Metro Detroit stands at $3.01 per gallon, reflecting a 10-cent decrease from last week and a 43-cent drop compared to the same period in 2024, according to officials.
AAA identified Ann Arbor ($3.02), Metro Detroit ($3.01), and Marquette ($3.00) as having the highest average gas prices in the state. The lowest averages were reported in Benton Harbor ($2.88), Saginaw ($2.89), and Traverse City ($2.89).
According to GasBuddy’s survey of 1,734 stations in Detroit, the city’s average gasoline price has fallen by 10 cents per gallon in the last week, settling at $2.98 on Monday. This marks a 14-cent decrease from a month ago and a 46-cent drop compared to the previous year.
GasBuddy price reports indicate that the cheapest station in Detroit was selling gas for $2.54 per gallon on Sunday, while the most expensive was priced at $3.69. Statewide, the lowest price recorded on Sunday was $2.47 per gallon, while the highest reached $3.69.
On a national scale, the average price of diesel has declined by 2 cents over the past week, now standing at $3.63 per gallon.
Meanwhile, the national average price of gasoline has fallen by 4 cents per gallon over the last week, reaching $3.04 as of Monday. Compared to a month ago, the national average has dropped by 5 cents and is 30 cents lower than a year ago, according to GasBuddy, which compiles weekly price data from more than 11 million reports across 150,000 gas stations nationwide.
AAA’s national average price stands slightly higher than GasBuddy’s, reporting a figure of $3.10 per gallon.
“Gasoline prices in the U.S. have edged slightly lower over the past week, even as geopolitical tensions intensify,” said Patrick De Haan, head of petroleum analysis at GasBuddy. He noted that the Trump administration’s proposed tariffs could create economic uncertainty, potentially influencing fuel prices in the weeks ahead.
“Given the volatility surrounding the tariff situation, forecasting fuel prices remains challenging. The uncertainty over the timing and scope of these tariffs, which the Trump administration has suggested will take effect soon, adds complexity to price predictions,” De Haan explained. “This is compounded by ongoing concerns regarding the Russian invasion of Ukraine and discussions about a possible resolution to the conflict. While OPEC has expressed its intent to stabilize the market, policy decisions from the White House could introduce additional uncertainty, making it difficult to determine where prices will head next. However, as in most years, a seasonal increase in prices is expected during the spring, potentially driving costs higher ahead of the summer months.”
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