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Merced County gas prices hit lowest levels in 2026. Here’s what drivers will pay

Merced County drivers are in for some relief at the pump, according to AAA.

The automobile association reported that gas prices have dropped to their lowest national average in years, with regular gas averaging about $2.80 per gallon nationwide.

“The last time the national average for a gallon of regular gas was this low was back in March of 2021,” AAA said in a Jan. 8 news release.

While California continues to have some of the highest gas prices in the country, AAA said, prices in the Golden State are about 15 cents lower than they were around the same time in 2025.

In the Central Valley, however, prices can vary by city.

Compared with neighboring metropolitan areas, Merced-area drivers are paying a few cents more at the pump.

“A nearly 40-cent difference in gas prices exists between Merced and Turlock,” Facebook user Alex Perez said in a Jan. 9 post. “I need to stop in Turlock more often.”

Here’s what drivers in Merced County can expect to pay at the pump:

Merced County drivers are in for some relief at the pump, according to AAA.
Merced County drivers are in for some relief at the pump, according to AAA. FreshSplash Getty Images

Why did gas prices drop in Merced County?

Gas prices are falling because there’s a large supply of oil available — and fewer people are filling up, according to AAA.

Crude oil prices remain relatively unchanged from the end of 2025 and unaffected amid questions about Venezuela’s impact on the oil market,” AAA said in its Jan. 8 news release.

Nationwide, AAA said, drivers are buying less gas.

OPEC+, the group of major oil-producing countries, has said it doesn’t plan to boost production in early 2026 because demand is lower.

New data from the U.S. Energy Information Administration also shows gasoline demand dropped, while the overall supply of gas increased.

“Total domestic gasoline supply increased from 234.3 million barrels to 242 million,” AAA said. “Gasoline production decreased last week, averaging 9.0 million barrels per day.”

Oil prices have also dipped recently, with United States crude oil settling just below $56 a barrel.

While oil stockpiles fell a little, supplies are still close to normal for this time of year — which is helping prevent sudden jumps in prices at the pump, according to AAA.

What are current gas prices in California?

As of Thursday, Jan. 15, California had the second-highest gas prices in the nation, behind Hawaii.

Prices for a gallon of regular gas average about $4.21 statewide, according to AAA.

While gas has dropped to its lowest level in years, it’s still more than a dollar above the national average of $2.84 per gallon.

Around this time in 2025, California drivers were paying about $4.39 per gallon.

Merced resident Lis Miguel, fills up her car’s gas tank at the Arco gas station near the intersection of G Street and East Olive Avenue in Merced, Calif., on Thursday, April, 11, 2019.
Merced resident Lis Miguel, fills up her car’s gas tank at the Arco gas station near the intersection of G Street and East Olive Avenue in Merced, Calif., on Thursday, April, 11, 2019. Andrew Kuhn akuhn@mercedsun-star.com

How much can I expect to pay for gas in Merced County?

Merced County is one of the pricier places to fill up in the Central Valley, according to AAA.

As of Thursday, Jan. 15, the average price for a gallon of regular unleaded gasoline in the Merced area was about $4.01.

That’s roughly 20 cents below the statewide average of $4.21 — but still higher than prices in nearby Central Valley counties.

Drivers in the Modesto area were paying about $3.91 per gallon, as of Thursday, Jan. 15.

Around this time in 2025, drivers were paying approximately $4.25 for a gallon of regular gas on average in the Merced area.

Where to find cheapest gas stations in Merced County

As of Thursday, Jan. 15, some Merced-area gas stations were offering prices below the local average of $4.01 per gallon, according to the price-tracking site GasBuddy.

These were 10 of the cheapest gas stations in Merced County based on the cash price for a gallon of regular gasoline, according to GasBuddy:

1. Delhi Gas and Food Mart, 9772 Stephens St., Delhi — $3.45 per gallon

2. ARCO, 2080 Campbell Blvd., Livingston — $3.49

3. Great American Gas and Food Mart, 1312 Court St., Livingston — $3.49

4. Star Gas and Mart, 1970 East Childs Ave., Merced — $3.53

5. Quik Stop, 401 Joseph Gallo Court, Livingston — $3.54

6. Love’s Travel Stop, 29025 West Plaza Drive, Santa Nella — $3.55

7. ARCO, 12185 South Santa Nella Blvd., Santa Nella — $3.55

8. Rotten Robbie, 12860 Highway 33, Santa Nella — $3.55

9. Shell, 12310 Highway 33, Santa Nella — $3.59

10. Sinclair, 780 South Ave., Gustine —$3.59

Some Merced-area gas stations are charging less.
Some Merced-area gas stations are charging less. Madeline Shannon

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Angela Rodriguez
The Modesto Bee
Angela Rodriguez is a service journalism reporter for The Bee. She is a graduate of Sacramento State with a bachelor’s degree in journalism. During her time there, she worked on the State Hornet covering arts and entertainment.
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