Gas Prices Drop Below $3 as Trump Restores U.S.–Saudi Energy Alliance

Gas prices have finally fallen to levels American drivers hadn’t seen in years, thanks in large part to President Donald Trump’s renewed diplomatic and energy partnership with Saudi Arabia. The national average now sits at $2.98 per gallon — down more than four cents in just a week and roughly 15 cents lower than it was this time last year.

Crude oil prices have also plunged to five-month lows, contributing to the drop. Analysts point to a shift in global supply conditions, with OPEC members — led by Saudi Arabia — steadily ramping up production. “We’ve seen a clear trend driven by excess supply,” said Patrick De Haan, head of petroleum analysis at GasBuddy. “OPEC deserves much of the credit.”

Behind that supply surge is a major diplomatic reset. Under Trump, the United States has rebuilt ties with Saudi Arabia — a sharp contrast from the previous administration’s confrontational stance. In May 2025, Trump’s administration announced a sweeping $600 billion Saudi investment package focused on U.S. industry, infrastructure, tech, and energy. That deal included a $90 billion commitment from Saudi Aramco to expand energy partnerships with American companies.

The strengthened alliance gives the U.S. more influence over global oil flows and insulates American consumers from adversarial supply shocks.

Trump’s approach stands in direct contrast to former President Joe Biden, who famously pledged to make Saudi Arabia a “pariah” over human rights concerns. That approach backfired, with Riyadh deepening ties with Russia and China while snubbing Biden during key moments of global oil negotiations.

“President Biden said he would make the kingdom of Saudi Arabia a pariah state. That was an enormous mistake,” former Secretary of State Mike Pompeo warned back in 2022. “They are an important security partner for the United States.”

Under Biden, the relationship deteriorated so badly that in April 2023, Saudi Arabia led OPEC — including Russia — to cut more than a million barrels per day of oil production, stoking fears of inflation in the U.S. Biden’s fallback was to tap the Strategic Petroleum Reserve, draining it to historic lows in a bid to control gas prices.

Trump, by contrast, opted for diplomacy and investment — and that approach is now delivering visible results for Americans at the pump. With Saudi Arabia increasing output and pricing pressure easing globally, gas prices have dipped below the symbolic $3 mark in many parts of the country.

For working families and commuters, it’s a welcome relief — and one that comes with a clear political message: energy strength abroad means price stability at home.

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