- March 27, 2026
- Posted by General Electric Credit Union
- 5 read
Why Gas Prices Go Up or Down—and How to Save at the Pump
Gas prices can feel like they’re always on the move, and it’s natural to wonder: Why are gas prices going up or dipping from week to week? The cost at the pump is shaped by several factors working together behind the scenes.
While it can feel unpredictable, there are smart ways to stretch your fuel budget. Explore our tips and learn what impacts gas price fluctuations below.
Your gas budget goes further with reward points
With higher prices at the pump, General Electric Credit Union (GECU) is helping Platinum cardholders save with 4x points on gas purchases through July 19, 2026.1 Points are unlimited, never expire, and can be redeemed for cash back or other rewards.
Why gas prices go up and down
Supply and demand
Gas prices change for a variety of reasons, but the biggest driver is the cost of crude oil—the raw material used to make gasoline. When global oil supply tightens or demand increases, crude oil prices tend to rise, and that increase usually shows up at the pump.Refining practices
Turning crude oil into gasoline requires labor, equipment, and compliance with environmental rules, and those costs can go up or down throughout the year. For example, refineries switch to a more expensive summer blend to reduce evaporation in warm weather.1 The cost to move gasoline from refineries to gas stations—whether by pipeline, ship, or truck—can also influence the final price, especially if transportation routes are long or disrupted.Taxes
Federal, state, and local taxes make up a meaningful portion of each gallon’s price, which is why drivers in different regions often pay different amounts. Gas prices also shift based on basic supply and demand—busy travel seasons or low inventories can push prices higher, while oversupply can bring them down.