Californians are not loving high gas prices as inflation spikes
As inflation rates rise to the highest level in decades, Californians are again being hit the hardest at gas pumps, with a regular tank of gas costing more than $100 at some stations in Los Angeles.
Inflation figures released this week show that increases in consumer and producer prices have been increasing for more than three years, driven by the energy crisis resulting from the war with Iran.
Gasoline prices took the biggest hit to consumer spending power, rising 41% in May compared to the previous year.
While the national average for gas prices is just over $4 per gallon, in California it’s closer to $6 per gallon. In fact, at a few gas stations in Los Angeles, this price is approaching $7.
When asked about inflation in the Oval Office on Wednesday, President Trump told reporters the numbers look great.
“I love inflation,” Trump said. “The numbers will be extraordinary because they show that even though we are in a war, the numbers are much lower than expected, and when we come out of the war, the numbers will be even lower than they were before the war started.”
Consumers aren’t feeling the love.
Workers work in front of a crude oil storage container at Sable Offshore Corp.’s Santa Ynez Unit in Santa Barbara on Friday, June 5, 2026. California producer Sable Offshore Corp. said in an investor presentation Monday that it expects to restart a platform capable of pumping 10,000 barrels of oil per day in the third quarter of this year.
(Caroline Brehman/Bloomberg)
Costco gas pumps in Inglewood were busy Thursday morning; There was a steady stream of cars looking to save money at the relatively low price per gallon of about $5.50.
Eddin, an Inglewood resident who preferred not to give his last name, said he started using his girlfriend’s hybrid vehicle on long trips, even though his Honda Civic isn’t a big gas guzzler.
“We’re buying his car now because it’s more affordable,” he said as he filled up his tank. “I wish there was more the government could do, not just for gas prices, but for prices in general. Prices seem to have gone up for everything.”
Unforgiving prices at the pump will make everyone’s summer more expensive. The biggest price increase for consumers after gasoline was in airline tickets, with an increase of 27%.
Even staying at home doesn’t accommodate shoppers; The amount of beef they would want to barbecue in their backyard has increased by 15%.
Mario, a Virginia resident who preferred not to give his last name, was hit with inflation taxes twice as he left Los Angeles this week. After paying much more for the ticket than at the beginning of the year, he was paying even more to refill his rent as he headed for his flight home.
“All flights are a lot more expensive than they used to be,” he said as he paid almost $5.80 per gallon at 76th Century Boulevard near Los Angeles International Airport.
The average price of a gallon of gasoline in Virginia is around $3.90.
While prices are rising around the world, the cost of gasoline is higher in California than almost anywhere else due to higher taxes, fees and cleaner fuel requirements.
The state’s gas supply is also particularly vulnerable as it has lost much of its drilling and refining capacity in recent years, making it more dependent on fuel from other states and countries.
As gas prices continue to rise in Los Angeles, locals are forced to adjust their lives based on prices at the pump. For some, this includes cutting back on other necessities like food, strictly budgeting for half a tank of gas a week, and rethinking side hustles like a food delivery service.
Public transport has become a more advantageous option for some; weekday subway commutes increased nearly 8% from January to May.
Recent reports show a decline in spending on expensive household items, and credit card data shows that both luxury and discount shoppers have been spending less than usual on accommodation, food, clothing and theaters lately to accommodate a larger gas budget.
Liz, another Inglewood native who prefers not to give her last name, has been putting off filling up completely because it’s too expensive. Instead, he makes more frequent visits and puts a little gas in his car each time.
“I need to adjust my budget and do half a tank now, half a tank later, or ask for an advance on my paycheck just to buy gas,” he said.
Most people at the pumps agree: Something needs to change.
Wayne Faulkner is from Los Angeles but currently lives in Indiana, where gas costs about $3.50 a gallon. He complained while filling up his rent at the LAX booth.
“Our gas situation is much better than here,” he said.
