Austin Gas Prices Dip Slightly Amid Global Tensions

Gas prices continue to rise in Texas as global tensions — including the ongoing conflict involving Iran — continue to push up crude oil costs. (Photo by Camden Hall/NurPhoto via Getty Images)

Even with a current ceasefire in the conflicts involving Iran, Israel and the U.S., gas prices remain high throughout the nation.

Gas prices in the U.S. continued their gradual decline over the weekend, falling by several cents as the end of a U.S.-Iran ceasefire in the Middle East approaches.

On Wednesday, the national average price for a gallon of regular gasoline was $4.020, down from last week's average of $4.108, according to AAA. The decrease may reflect a slight easing of regional tensions.

Last Thursday, President Donald Trump announced that Israel and Lebanon had agreed to a 10-day ceasefire, halting one of the region’s major conflicts. Meanwhile, Pakistan has been working diplomatically to encourage the U.S. and Iran to resume negotiations before their own ceasefire expires.

However, tensions could escalate in the coming week. The temporary ceasefire between the U.S. and Iran is set to end on Wednesday, and Iran currently seems unwilling to enter talks before then.

For now, people still feel the squeeze on their wallets. Here's a look at current gas prices.

According to AAA, gas prices are still high throughout Austin even with a price drop. Last week's average in the Austin-San Marcos metropolitan area was $3.83.

Here's a look at Austin prices:

• Current price: $3.605
• Last week's price: $3.83
• Average price last year: $2.77
• Last month's average: $3.68

How much is diesel fuel?

The current average for diesel in Texas is $5.37, according to AAA. Meanwhile, in Austin, diesel prices are $5.43.

According to SmartAsset, nationwide, the average cost of a gallon of diesel increased 50.2% since last year, up from $3.62 to $5.43. Texas saw a 60.9% hike in diesel costs within one year, according to the financial technology company.

SmartAsset’s analysis is based on AAA data comparing April 1, 2025, and April 1, 2026.

Texas ranks 35th among states for gas prices, according to the report.