Gas prices could fall as crude oil plummets, expert says

Crude oil prices have dropped to their lowest level in four years after President Donald Trump announced tariffs on U.S. trading partners, which will benefit consumers nationwide at the gas pump, according to energy industry experts.

U.S. crude futures were trading around $61 a barrel as of 11 a.m. ET on Monday after falling below $60 per barrel earlier. 

"The silver lining from the recent market turmoil is that the significant decline in oil prices will lead to a decline in gasoline prices for the consumer," Andy Lipow, president of Lipow Oil Associates, told FOX Business. 

The price of crude oil is the largest factor in the retail price of gasoline, making up more than half of the total cost consumers pay at the pump.

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Refineries have switched over to summer-blend fuel, which is more expensive to produce than winter-grade fuel, and typically causes prices to jump at the pump. However, Lipow said consumers are not going to see the full impact of that change at the gas station because of the significant drop in crude prices – down over $10 per barrel over the last three days.

Futures Group senior analyst and FOX Business Network contributor Phil Flynn said that while crude and gasoline prices don't always drop linearly, this decrease should offset the usual 10- to 15-cent per gallon increase consumers would typically see when the industry switches to summer gasoline blends. 

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Summer gasoline blends will be cheaper initially, and if oil prices continue to stay low for an extended time, Flynn said consumers "could see the cheapest summer for gasoline prices since President Trump was in office or since COVID." 

Lipow estimated that gasoline prices will start dropping as soon as this week. Over the coming weeks, there will be a decline of 15 cents per gallon, Lipow estimated. 

Additionally, OPEC+ decided to accelerate the restoration of its production cuts in May, which will add more supply to a market that is "concerned with slowing growth as a result of higher tariffs," Lipow said, adding that this is another good sign for oil prices and consumers. 

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Flynn said the gasoline demand over the Easter holiday will be a good snapshot of overall consumer confidence. 

"We will see how the average American is impacted by the volatility in the stock market," Flynn said. U.S. stocks have tumbled in the wake of Trump's tariff announcement last week.

If the weather is nice and the price of gasoline is cheap, Flynn expects "we're going to see a big bounce up in consumer confidence as long as people don't look at their 401(k)."