Statewide average updated daily • Source: AAA
Arizona gas prices typically run near the national average, occasionally dipping slightly below it in the Phoenix metro area where a competitive retail market keeps margins tight. The state has a moderate tax rate and receives most of its fuel supply via pipeline from Gulf Coast and California refineries, though its desert location and distance from major refining centers means it is more vulnerable to supply disruptions than states closer to the Gulf Coast.
Arizona’s state gas tax is 18 cents per gallon, one of the lowest in the country. However the state makes up for this with a general sales tax that applies to gasoline purchases, which adds a variable component to the total cost. When combined with local sales taxes in cities like Phoenix and Tucson, the effective total tax burden rises closer to the national average despite the low excise rate.
Arizona receives most of its fuel via two main pipelines — one running from El Paso connecting to Gulf Coast supply and another from California refineries. The California connection is both a benefit and a vulnerability — when California refineries experience outages or when California’s own demand spikes, Arizona can face supply tightness and price increases that mirror California market conditions.
The Phoenix metro area has one of the most competitive gas station markets in the Southwest, with high station density along major freeways keeping retail margins tight. Tucson generally runs slightly higher than Phoenix and rural Arizona can run significantly above the state average due to longer supply distances.
Did you know? Arizona’s 18 cent flat gas tax has not been raised since 1990, making it one of the longest unchanged fuel tax rates in the nation. Phoenix is one of the most car-dependent large cities in the country with virtually no walkable urban core, giving gas prices an outsized impact on household budgets. Arizona’s extreme summer heat — regularly exceeding 110 degrees in Phoenix — is one reason the area requires a specific summer fuel blend to reduce smog-forming emissions in the intense desert heat.
Compare today’s average in Arizona with nearby states to understand regional price differences.
Learn more about what drives gas prices across the United States.
Crude oil prices are the biggest driver of what you pay at the pump. For U.S. and global crude oil production data updated from EIA figures, see Oil Production Live.