As Americans gear up for the last big getaway of summer, drivers across the country are bracing for a record-breaking hit at the gas pump. According to AAA, the national average price for regular gasoline soared to $4.14 per gallon on September 3, 2026, just ahead of the Labor Day weekend. This marks the highest national average ever recorded for the holiday, shattering the previous Labor Day record of $3.82 set back in 2012, as reported by Mainstreet Daily News and KATU.
The pain at the pump is especially acute in the Pacific Northwest. In Oregon, the average price for regular unleaded gas reached $4.99 per gallon on Thursday—up 4 cents in a single day and 23 cents over the past week, according to AAA data cited by KATU. In neighboring Washington, drivers are faring even worse, with prices averaging $5.47 per gallon, up 3 cents in one day and 20 cents from last week. These figures put Washington and Oregon among the nation’s most expensive gasoline markets, ranking second and fourth, respectively, behind only California, where prices have soared to $5.78 per gallon.
AAA spokesperson Marie Dodds explained that several factors are converging to drive prices skyward. “The conflict has sent crude oil prices dramatically higher. Crude oil is that basic ingredient used to make a gallon of gas or diesel,” Dodds told Oregon Public Broadcasting. “So when the cost of your basic ingredient goes up—so does your end product. And that’s what we’re seeing.”
The war against Iran, which began on February 28, 2026, is at the heart of the current price surge. When the conflict erupted, the average price for regular gasoline in Oregon was $3.92 per gallon, while the national average stood at $2.98 per gallon, according to KATU. Since then, prices have climbed steadily, fueled by disruptions in the global oil supply chain.
Approximately 20% of the world’s oil supply passes through the Strait of Hormuz, which borders Iran. Ongoing attacks and military activity in the area have restricted traffic through the vital waterway, further tightening global supplies. This volatility has pushed crude oil prices into the $90 per barrel range, as AAA noted in its weekly report. “Continued volatility in the Strait of Hormuz has pushed crude oil prices in the $90 per barrel range,” the AAA release stated. “After a record-setting August, this Labor Day weekend is on track to also set a record at the pump.”
It’s not just the Northwest feeling the squeeze. In Florida, the statewide average gas price rose to $3.98 per gallon as of early September, while Gainesville’s average reached $4.01 per gallon, up two cents from the previous week, according to Mainstreet Daily News. Florida, while still below the national average, now ranks 23rd lowest in the nation for gas prices. Meanwhile, the cheapest gas can be found in states like Indiana ($3.44), Texas ($3.69), Oklahoma ($3.71), and Mississippi ($3.71).
Despite the record-high prices, AAA expects this Labor Day weekend to see record travel numbers. “Labor Day weekend travelers are facing the highest gas prices ever for this time of year. The national average is $4.14, up four cents from last week,” AAA’s release emphasized. Even as gasoline demand typically drops at the end of summer, this year’s unique combination of high crude oil costs and reduced supply has kept prices stubbornly high. According to the Energy Information Administration, gasoline demand decreased from 9.04 million barrels per day on August 27 to 8.92 million by early September, while total domestic gasoline supply dropped from 206.8 million barrels to 205.7 million barrels. Gasoline production, meanwhile, remained flat at 9.8 million barrels per day.
AAA spokesperson Marie Dodds also pointed to regional factors compounding the problem in the Northwest. Dwindling supplies of summer-blend gasoline and reports of possible operational issues at the Olympic Pipeline have contributed to the spike in prices, she told KATU. “When the war began Feb. 28, Oregon’s average was more than $1 lower at $3.92 per gallon, while the national average was $2.98 per gallon,” Dodds recalled. “Now, we’re seeing prices that have never been this high for Labor Day.”
Travel costs are up across the board in 2026, not just at the gas station. AAA reports that domestic flights, hotels, cruises, and tours are all more expensive this year compared to 2025. The only bright spots for travelers are international flights and rental cars, which have actually dipped in price. Still, the surge in costs hasn’t dampened Americans’ enthusiasm for hitting the road or taking to the skies. Top regional destinations for Labor Day include Bend, Seattle, Portland, Lincoln City, and Newport, while the most popular U.S. spots are Anaheim, Las Vegas, Orlando, and San Diego. Internationally, Vancouver, Rome, London, Dublin, and Paris are drawing crowds.
For those planning a road trip, AAA warns to expect congested roads over the condensed three-day holiday window marking the end of summer. “Despite the highest ever gas prices for Labor Day, AAA expects record travel over the three-day holiday weekend,” Dodds said. The organization’s data suggests that travelers are willing to absorb higher costs to squeeze in one last vacation before the school year and colder weather arrive.
The price crunch is not limited to gasoline. Electric vehicle owners are also feeling the pinch, though in a different way. Public charging costs per kilowatt hour vary widely across the country, with West Virginia topping the list at 52 cents per kWh and Kansas offering the cheapest rate at 31 cents per kWh, as detailed by Mainstreet Daily News. This spread illustrates the broader reality that energy costs—whether for gas or electricity—are hitting American wallets harder in 2026.
For those hoping for a reprieve, history offers little comfort. The previous Labor Day record for the national average gas price was $3.81 per gallon in 2023, and before that, $3.82 in 2012. This year’s $4.14 average sets a new bar, and with ongoing instability in global oil markets and persistent supply challenges, relief may not be on the horizon anytime soon.
As millions of Americans set out on their Labor Day journeys, they’ll be doing so with an eye on the pump—and perhaps a bit more stress in their wallets than in years past. The summer of 2026 is ending with a bang, not a whimper, as the nation faces record travel and record prices all at once.