OPEC+ (a group of oil-producing countries) just announced that it will increase oil production by around 547,000 barrels per day starting in September. This decision is part of a bigger plan to slowly reverse the major supply cuts made over the last year.
But how does this change affect the price you pay at the gas station?
More oil usually means cheaper gas
When OPEC+ pumps more oil into the global market, the price of crude oil tends to fall. Crude oil is the main ingredient in gasoline. So when it gets cheaper, the cost of gasoline often goes down too.
After the announcement, crude oil prices dropped slightly. Brent crude (the international benchmark) went down to about $69 per barrel, and U.S. oil (WTI) fell to around $66 per barrel.
Will gas prices drop right away?
Not immediately. Gasoline prices at the pump don’t change overnight. Even when oil prices drop, gas stations usually take longer to pass the savings to consumers. This delay is known as the “rockets and feathers” effect, prices go up fast like a rocket, but come down slowly like a feather.
Still, if oil prices keep falling, gas prices will likely come down in the next few weeks.
How much cheaper could gas get?
Right now, the average gas price in the U.S. is around $3.16 per gallon, which is already lower than last year. If OPEC+ keeps increasing supply and there are no major world events that shake up oil markets, experts believe gas prices could fall even more by late 2025.
Some forecasts suggest that oil might drop to $55–59 per barrel by the end of the year. If that happens, we could see a noticeable drop in prices at the pump, possibly by 10 to 20 cents per gallon, depending on your location.
Key takeaway
OPEC+ is adding more oil to the market. That move is starting to push oil prices down, and over time, it should lead to lower gas prices for drivers. But don’t expect big savings right away. If the trend continues, you may start seeing cheaper gas by fall.
