Energy experts say gas prices are likely to remain high for months. Here’s why. Even if a peace deal is reached between the U.S. and Iran and the Strait of Hormuz reopens, American motorists will likely experience elevated gas prices for months. This is because it will take a significant amount of time to fully normalize global oil supplies, as refineries need to ramp up production and oil inventories need to be replenished. Experts estimate that pre-war fuel prices may not return until mid-to-late 2027.

• Gas prices are expected to remain high for months, even with a U.S.-Iran peace deal and the reopening of the Strait of Hormuz.
• The Strait of Hormuz is a critical waterway, normally accounting for 20% of global crude and liquefied natural gas supplies.
• Reopening the strait and fully normalizing oil supplies is a slow, multi-month to multi-year process.
• Oil prices may drop immediately upon a deal announcement, but gasoline prices will lag due to supply chain delays and the need to replenish low global inventories.
• It will take time for oil-producing nations to restart facilities and return to typical output levels, and then for that oil to reach refineries and then the market.
• U.S. inflation has been impacted by rising energy costs due to the Middle East conflict.
• Americans have spent significantly more on gas and diesel since the Iran war began.