California Governor Gavin Newsom urged drivers to avoid Chevron gas stations over Memorial Day weekend, suggesting the company could be gouging customers at the pump. Newsom issued the warning to holiday travelers in a post on X.

"Californians, if you're hitting the road this holiday weekend, be sure to AVOID Chevron," Newsom wrote. "Pro tip: unbranded gas comes from the same refineries, storage tanks, and pipelines, and it meets the same state standards to keep your engine running clean."

In a separate message, Newsom wrote, "Big Oil is already making billions off Trump's Iran War; don't let them rip you off even more by overpaying for the brand name." The governor's posts followed signs posted by Chevron at some of its California stations blaming the state's high prices on Sacramento policies.

The signs read, "California politicians are choosing foreign oil and fuels over local jobs and lower costs," and include a QR code directing customers to a Chevron webpage asking people to speak up for affordable, reliable energy. A Chevron spokesperson said the signs were part of a campaign launched three years ago to educate the public on how California's policies affect gas prices. The company has emphasized that California's higher taxes, fees and standards on gas, along with restrictions on refining, have bolstered prices at the pump.

Chevron is the state's largest branded gasoline retailer, controlling 19% of California's gas market with more than 1,600 stations. A California Energy Commission analysis of 2024 gas prices found Chevron had a retail margin of 84 cents, and the price difference between Chevron stations and unbranded stations was 48 cents that year.

California's gas prices are among the highest in the country, with the state average nearly $1.60 above the national average. The state average was $6.14 per gallon on Thursday and $6.13 on Friday, according to the American Automobile Association. California taxes consumers 70 cents per gallon, the highest state gas tax in the country. The California Energy Commission has cited a premium blend of gas that limits pollution, environmental program fees, the isolation of the state's fuels market, and state and local taxes as factors in the higher costs.

Chevron relocated its headquarters to Texas in 2024, ending the company's 145-year history in California, and complained about Sacramento's energy and climate policies after the move. Newsom signed a law in 2023 that would penalize oil companies for excess profits, but regulators voted to hold off implementation until 2030 after two major refineries threatened to close. In 2024, he signed a law giving the commission authority to require refineries to keep a certain amount of fuel on hand.