TN Gas Prices Fall Three Cents
Tennessee falls to tenth least expensive market in the nation
NASHVILLE, Tenn., (October 20, 2025) — Tennessee gas prices continued their downward trend last week, falling three cents, on average. The Tennessee Gas Price average is now $2.68 which is 10 cents less expensive than one month ago and 11 cents less than one year ago.
National Gas Prices
The national average for a gallon of regular gasoline could reach the 3-dollar mark for the first time in 4 years. Since last week, the national average has dropped five cents to $3.03. Several factors are behind the drop, including falling crude oil prices, lower gasoline demand, and cheaper winter-blend gasoline at the pump. The tropics have been relatively quiet, and storm activity hasn’t had an impact on gas prices.
According to new data from the Energy Information Administration (EIA), gasoline demand decreased from 8.91 million b/d last week to 8.45 million. Total domestic gasoline supply decreased from 219.1 million barrels to 218.8 million. Gasoline production decreased last week, averaging 9.4 million barrels per day.
National Oil Market Dynamics
At the close of Wednesday’s formal trading session, WTI fell 43 cents to settle at $58.27 a barrel. The EIA reports crude oil inventories increased by 3.5 million barrels from the previous week. At 423.8 million barrels, U.S. crude oil inventories are about 4% below the five-year average for this time of year.
Tennessee Regional Prices
- Most expensive metro markets - Nashville ($2.73), Cleveland ($2.72), Jackson ($2.71)
- Least expensive metro markets - Clarksville ($2.56), Chattanooga ($2.62), Morristown ($2.63)
Tennessee Gas Price Averages
(Price per gallon of regular unleaded gasoline)
 | Monday | Sunday | Week Ago | Month Ago | One Year Ago |
Tennessee | $2.684 | $2.691 | $2.710 | $2.787 | $2.799 |
Chattanooga | $2.627 | $2.638 | $2.647 | $2.702 | $2.732 |
Knoxville | $2.681 | $2.685 | $2.715 | $2.796 | $2.748 |
Memphis | $2.699 | $2.703 | $2.758 | $2.801 | $2.838 |
Nashville | $2.731 | $2.742 | $2.738 | $2.841 | $2.831 |
Click here to view current gasoline price averages | |||||
Gas Price Survey Methodology
AAA updates fuel price averages daily at www.GasPrices.AAA.com. Every day up to 130,000 stations are surveyed based on credit card swipes and direct feeds in cooperation with the Oil Price Information Service (OPIS) and Wright Express for unmatched statistical reliability. All average retail prices in this report are for a gallon of regular, unleaded gasoline.
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