Lucio Vasquez / Houston Public Media
Exxon gas station, located on John F Kennedy Blvd. Taken on Dec. 3, 2019.
In the last month, gas prices in Houston have fallen by more than fourteen cents per gallon, according to fuel price analysts. They could fall even lower.
GasBuddy, a fuel price analysis group, predicted on Tuesday that the national average for gasoline prices in 2026 would remain below $3 per gallon — the first time prices have remained that low since the COVID-19 pandemic.
AAA, an automotive safety organization, reported gas prices had fallen during the end of 2025, making December the cheapest December for gas since 2020.
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In Houston, gasoline prices are already well below $3 per gallon. As of Jan. 5, gas averaged $2.26 per gallon, with the cheapest stations in Houston selling gas for $1.98 per gallon.
“Across Texas, the average statewide is $2.32, down about six-and-a-half cents over the last week,” Matt McClain, petroleum analyst at GasBuddy, said. “So, the prices have continued to fall, and actually, barring any unforeseen geopolitical circumstance or something else out there, we don’t expect that to change.”
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Gas prices could continue to fall even lower than where they are today. At the national level, McClain said it’s unlikely gas prices would drop below $2 per gallon, given the costs of gas production.
“I don’t think we will drop another ten or 11 cents like we have across Houston in the past month,” he said. “You’re talking about gas stations already now below $2 a gallon. I think realistically speaking, we can expect perhaps another five to six cents a gallon.”