AAA: GAS PRICES FACE UPWARD PRESSURE FROM ISRAEL-IRAN CONFLICT

NASHVILLE, Tenn., (June 16, 2025) — Marking the third Monday at the same price, the Tennessee Gas Price average is $2.70. Since last Monday, the state average moved lower, but increased two cents from yesterday to $2.70 today. Drivers are still seeing pump prices approximately 30 cents lower compared to last year.
“Oil prices rose last week due to the escalating tensions between Israel and Iran,” said Stephanie Milani, spokesman for AAA – The Auto Club Group. “As a result, U.S. gas prices are expected to rise this week. The extent of the increase is uncertain, but drivers could begin seeing gas prices move higher on Monday.”
National Gas Prices
The national average is $3.14 which is two cents higher than last week, a nickel less than a month ago and 30 cents less than a year ago . State prices range from $2.66 in Louisiana to $4.65 in California.
National Oil Market Dynamics
The U.S. price for crude oil rose 13% last week. Friday’s closing price of $72.98 per barrel was $8.40/b more than the week before, and the highest daily settlement since February 11, 2025.
Tennessee Regional Prices
- Most expensive metro markets – Nashville ($2.76), Johnson City ($2.75) and Memphis ($2.74)
- Least expensive metro markets – Morristown ($2.62), Chattanooga ($2.63) and Clarksville ($2.64)
Visit GasPrices.AAA.com to view state and local average gas prices.
Tennessee Gas Price Averages
(Price per gallon of regular unleaded gasoline)
Monday | Sunday | Week Ago | Month Ago | One Year Ago | |
Tennessee | $2.70 | $2.68 | $2.70 | $2.71 | $3.03 |
Chattanooga | $2.63 | $2.59 | $2.62 | $2.64 | $2.97 |
Knoxville | $2.66 | $2.66 | $2.65 | $2.71 | $2.99 |
Memphis | $2.74 | $2.73 | $2.72 | $2.75 | $3.03 |
Nashville | $2.76 | $2.70 | $2.74 | $2.75 | $3.11 |
Click here to view current gasoline price averages |