Gas prices are expected to remain high through at least the end of the calendar year.
According to AAA, the national average for a gallon of regular fuel remains above $4 per gallon, and Mississippi is at $3.65 as of Monday after prices boomeranged back to July levels. Notably, in Mississippi, the average price has already jumped five cents from a week ago and is nearly one dollar higher than at this point in 2025.
“It’s a reality that we’re probably going to face for the remainder of the year – higher gas prices,” Don Redman, AAA’s spokesman in Mississippi, said on MidDays with Gerard Gibert.
Redman pointed to ongoing drone strikes by Ukraine on Russia oil refineries as one of the key factors pushing fuel prices higher, particularly for diesel. The average price for diesel nationwide is at $5.61, while in Mississippi, it’s around $5.30.
“Right now, with the way the Ukrainian drones are attacking refineries in Russia, that’s really putting a lot of pressure on fuel, particularly diesel,” he explained. “As long as those drone strikes continue at the refineries inside of Russia, that’s going to have an impact on prices, so it’s definitely hurting us domestically.”
Redman also attributed the continued high cost of oil and gas to the war between the U.S. and Iran, but said the Ukrainian strikes are the main contributor to the latest increase.
“Again, you’ve got two different wars going on, and just now do we really see that Ukraine is punching back into Russia and that’s absolutely having an impact on fuel prices, as well as the ongoing war with Iran,” Redman said.
Crude oil prices, the largest factor in gasoline costs, have surged amid the conflict and production disruptions. After easing to around $72 per barrel in early July, oil was trading at about $88 per barrel as of Monday.
While the U.S. does not get crude oil directly from Iran, Redman said disruptions in the global oil market are still affecting American consumers.
“They (Europe) rely on crude coming through the Strait of Hormuz that Iran is constantly holding hostage, if you will, and that’s affecting the prices,” Redman said. “That means other countries, such as India and China, have to go after other markets to get their crude and that’s what driving that price up. That’s why we’re paying more at home, even though we’re not getting any crude from Iran.”
According to the Department of Energy, oil production is estimated to be 600,000 barrels per day lower than before the war, and that reduction is expected to continue through 2027.
Redman said motorists should not expect significant relief that the pump until the conflicts are resolved.
“I think that until there’s some kind of resolution, to these wars I wouldn’t expect any big decreases at all in our fuel prices,” Redman said.