Chicago Gas Prices Hit $5.14 as Supply Disruptions Persist
Average gasoline costs in Chicago reached $5.14 per gallon, significantly exceeding national averages due to ongoing geopolitical conflicts and supply chain bottlenecks.
The average price of regular gasoline in Chicago stood at $5.14 per gallon on Friday. This figure is 67 cents higher than the national average of $4.47. The national average rose 19 cents compared to last month. It is also $1.14 higher than the price recorded one year ago. Data from AAA confirms Illinois averages $4.86, well above the US mean.
These levels approach the spring peak of $4.56 seen in May. The current spike follows renewed geopolitical tensions. Iran-backed Houthis seized the port of Mokha in Yemen on September 10. Saudi Arabia shut down its East-West pipeline on September 11 after drone attacks. These events have tightened global oil supplies just as demand remains stable.
Strait of Hormuz Remains a Chokepoint
Twenty percent of global oil supply passes through the Strait of Hormuz. The International Energy Agency labels the current situation a historic threat to energy security. Sam Ori of the University of Chicago calls it the largest disruption in oil industry history. The closure of this waterway directly impacts refinery inputs. Higher crude costs translate immediately into pump prices.
Regional Price Gaps Persist
Drivers in neighboring states pay significantly less. Indiana’s average price was $4.00 on Friday. This makes it the second-lowest in the nation, behind Texas at $3.95. Wisconsin averages $4.41, which is 45 cents cheaper than Illinois. Illinois carries the second-highest motor fuel tax in the country. This tax burden is a primary driver of the local price premium.
Retail Pricing Strategies Vary
Individual station prices reflect local replacement costs. Independent owners often set prices based on upcoming shipment costs. GasBuddy data shows variation within Chicago neighborhoods. Stations in West Pullman and Roseland offered fuel under $4.70 on Friday. This is below the Chicago city average. Retailers adjust prices hourly based on inventory and expected wholesale changes.
