WILKES – BARRE, LUZERNE CO. (WOLF) — Labor Day traditionally signals the beginning of cheaper gasoline for American drivers, but motorists may have to wait longer than usual for relief at the pump this year.

Gasoline demand typically declines after the summer driving season ends, putting downward pressure on prices. Refineries also begin transitioning away from more expensive summer-blend gasoline.

But AAA says 2026 is shaping up differently because high crude oil prices are offsetting the seasonal decline in gasoline demand.

The national average for regular gasoline is about $4.15 per gallon, up nearly 7 cents from a week ago, according to AAA. In the Scranton-Wilkes-Barre-Hazleton area, prices have climbed about 12 cents in a week.

AAA says motorists are finishing Labor Day weekend with the highest gasoline prices ever recorded for the holiday. The previous Labor Day record was $3.82 per gallon in 2012.

AAA says continued volatility involving the Strait of Hormuz, one of the world’s most important oil shipping routes, has pushed crude oil back into the $90-per-barrel range.

“Even though gasoline demand decreases this time of year, typically bringing down gas prices, this year is different due to the high cost of crude oil,” AAA said in its latest fuel-price report.

Why prices usually fall after Labor Day

Gas prices frequently begin declining after the holiday for several reasons.

Summer vacations end, schools reopen, and Americans generally drive less. The seasonal decline in demand occurs as refiners begin producing less expensive winter-grade gasoline.

Those factors normally combine to give motorists some relief during September and into the fall.

This year, however, the price of crude oil is working against those seasonal trends.

The U.S. Energy Information Administration said this week that both elevated crude prices and unusually high refinery margins are contributing to higher gasoline prices.

Crude oil is generally the largest single component of what motorists pay for gasoline.

Middle East remains the wild card

Oil markets have been unusually volatile throughout 2026 because of disruptions to shipments and production in the Middle East.

EIA’s August forecast said continuing constraints on traffic through the Strait of Hormuz were reducing global oil inventories and keeping crude prices elevated. The agency projected Brent crude at approximately $85 per barrel during the third quarter, although oil has since moved higher.

That means the usual post-Labor Day decline in driving may not be enough by itself to produce a significant immediate drop at the pump.

AAA’s figures also show just how unusual this Labor Day is.

The organization says the national average had never previously been above $4 per gallon on Labor Day. The previous Labor Day record was $3.82 per gallon, set in 2012.

Prices could still fall later this fall

The seasonal factors that normally push gasoline prices lower have not disappeared.

Lower demand and the transition to winter gasoline should continue putting downward pressure on prices as September progresses. A significant decline in crude oil prices could accelerate that process.

EIA had previously forecast gasoline prices falling substantially during the fourth quarter as global oil supplies recovered. But its outlook has repeatedly changed this year as conditions surrounding the Strait of Hormuz have changed.

The agency is scheduled to release its next Short-Term Energy Outlook on September 9, providing an updated forecast for gasoline and crude oil prices through the remainder of the year.

For drivers, the bottom line is that the traditional post-Labor Day forces favoring cheaper gasoline are beginning — but high crude oil prices could delay or limit how much prices actually fall.

Sources for this report include AAA Gas Prices and the U.S. Energy Information Administration (EIA), including its historical gasoline-price data and Short-Term Energy Outlook.