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Michigan Sees Record Low Gas Prices in 2025, with State Average at $2.96 per Gallon

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Published on March 03, 2025
Michigan Sees Record Low Gas Prices in 2025, with State Average at $2.96 per GallonSource: Jleedev, CC BY-SA 4.0, via Wikimedia Commons

Michigan motorists have a little extra cash to spare at the gas pumps, with the latest figures from AAA showing a continued decline in fuel prices. As of this week, the state average for regular unleaded gasoline dropped to a mere $2.96 per gallon—a record low for 2025. UpNorthLive reported that this represents a decrease of 12 cents from the previous week and a 49-cent dip compared to the same period last year.

Despite the price decrease and a pocket-friendly average of $44 to fill a 15-gallon tank, Michigan's drivers still face varying costs depending on where they top up. While The Detroit News noted that drivers in Metro Detroit are currently paying around $3.01 per gallon—an approximate 10 cent fall in just a week—the state's priciest fuel can be found in Ann Arbor, costing drivers $3.02 per gallon.

Conversely, residents in areas like Benton Harbor are celebrating the lowest gasoline prices, which are hovering at $2.88 per gallon, according to AAA. This trend of decreasing prices reflects new data from the Energy Information Administration indicating rising gasoline demands, which counterintuitively rose from 8.23 million barrels per day to 8.45 million despite a decrease in gasoline production.

Pivoting southward, AAA data showcases Kalamazoo, St. Joseph, and Van Buren counties settling at $2.86, presenting some of Michigan's most competitive rates for drivers. Sharing this spotlight of savings, other counties like Allegan are tracking at $2.89, while, according to WKZO, Barry and Cass counties remain a touch higher, pegged at $2.93. Calhoun County's drivers are experiencing this fiscal breather, seeing prices aligning with the state average at $2.96.

Nationally, the cost of diesel has also fallen, with a slight 2-cent decrease over the last week, averaging at $3.63 per gallon. Regular gasoline prices across the country have similarly trended downwards, with The Detroit News citing GasBuddy data that puts the national average at $3.04 per gallon, a 4-cent tumble from last week.