U.S. Gas Hits $4.09 a Gallon as Hormuz Unrest Lifts Annual Household Cost Near $2,500
Updated
Updated · Jalopnik · Jul 28
U.S. Gas Hits $4.09 a Gallon as Hormuz Unrest Lifts Annual Household Cost Near $2,500
3 articles · Updated · Jalopnik · Jul 28
Summary
$4.09 a gallon was the U.S. average on July 23, up from $3.10 in 2025 and ending three straight years of falling fuel prices, according to AAA.
Crude near $90 a barrel and unrest around the Strait of Hormuz drove the jump, pushing some motorists to buy regular instead of premium to cut pump costs.
$2,500 is roughly what a household would now spend on gasoline annually at July 2026 prices, versus AAA's earlier $1,950 estimate based on $3.15 fuel and about 619 gallons a year.
$11,577 is AAA's annual cost to own a new vehicle, with depreciation still the biggest expense at $4,334, but higher gasoline now adds pressure after helping keep 2016 ownership costs lower.
EVs still cost more overall to own new, but their fuel and maintenance bills remain lower: a medium electric sedan saves about $1,368 a year versus a gas model, while electricity prices have risen far less than gasoline.