by LANSING, Michigan — Drivers across Michigan are getting some relief at the pump this week as average gas prices dip to their lowest level in months. According to AAA – The Auto Group, the state’s average price for a gallon of regular unleaded fuel has fallen 11 cents over the past week, bringing the average down to $2.97 as of Monday.
Michigan Gas Prices Hit Lowest Level in Months
AAA reports that Michigan motorists are now paying 20 cents less than they were a month ago and 21 cents less than this time last year. The decline marks one of the steepest weekly drops seen in the state since the end of summer.
At the current average, filling up a 15-gallon tank now costs about $44, compared to $46 just a week earlier. AAA noted that while prices remain under $3 statewide, certain regions are still seeing slightly higher averages due to local market factors and refinery distribution challenges.
Analysts Warn Dip May Be Short-Lived
Despite the early November drop, experts caution that this relief might not last long. Patrick De Haan, head of petroleum analysis at GasBuddy, said in his blog Monday that the national average briefly dipped below $3 per gallon, but that trend is expected to reverse soon.
“Gas prices are likely to rebound soon in the Great Lakes states due to ongoing refinery challenges, while a new snag at a California refinery may slow the pace of declines on the West Coast,” De Haan said.
He added that OPEC+ recently announced another boost to oil production for December, although the group plans to pause further increases through March. “For now, expect the national average to hover in the low-$3 range,” he said, “potentially drifting lower once refinery issues are resolved.”
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City-by-City Breakdown: Ann Arbor Tops the List
AAA data shows that Ann Arbor currently has the most expensive gas in Michigan, with prices averaging $3.07 per gallon, followed by Metro Detroit at $3.00 and Lansing at $2.98.
On the other end of the spectrum, Traverse City drivers are paying some of the lowest prices in the state, averaging $2.83 per gallon, while Jackson ($2.86) and Saginaw ($2.89) also rank among the cheapest.
In Detroit, the average price remains steady at around $3.00, unchanged from last week but still slightly below the national average.
National Gas Price Trends
Nationwide, the average price for a gallon of unleaded fuel is about $3.04, according to AAA’s weekend report. That’s down one cent from the previous week and seven cents lower than the same period in 2024.
De Haan explained that while crude oil prices have stabilized in recent weeks, regional refinery slowdowns and seasonal demand shifts continue to influence retail fuel costs.
“This time of year, we usually see prices drift lower as demand drops,” he noted, “but refinery maintenance can cause localized spikes.”
What Drivers Can Expect Heading Into Winter
With the Thanksgiving travel season approaching, analysts suggest motorists keep an eye on fluctuating prices. Early cold snaps and refinery repairs could create temporary price increases in parts of the Midwest, including Michigan.
Still, AAA expects overall fall gas prices to remain below $3 for most of November, offering drivers a small reprieve before winter heating and travel demands increase fuel consumption.
Motorists are encouraged to use gas price-tracking apps like GasBuddy or AAA’s mobile tool to find the cheapest local fuel options.
For continued updates on gas prices and economic trends across Michigan, visit race-day-live.com.
