CHATTANOOGA — Average gasoline prices in Chattanooga fell 34.2 cents per gallon in the last week, averaging $3.67 per gallon on Monday, June 1, 2026, according to GasBuddy's survey of 170 stations in Chattanooga. The drop marked the steepest weekly decline in the city in recent months.

As of June 1, gasoline prices in Chattanooga were 21.7 cents per gallon lower than a month earlier and $1.07 higher per gallon than on the same date in 2025, when the average price stood at $2.60. The cheapest gas station in the city was priced at $3.30 per gallon on Sunday, May 31, while the most expensive charged $4.49 per gallon.

Nationwide, average gasoline prices also declined, falling 19.5 cents per gallon over the same week to reach $4.26 per gallon on June 1. Tennessee’s statewide average on that date was $3.92 per gallon, down 20.0 cents from the previous week. Average gasoline prices declined in all 50 states over the last week, with GasBuddy now tracking 15 states where the average price of gasoline has fallen below $4 per gallon, offering motorists some of the most widespread relief seen in weeks.

"Much of the decline was driven by falling oil prices and the unwinding of recent price cycles, as growing optimism surrounding a potential U.S.-Iran agreement helped ease concerns over global oil supplies. Diesel prices also posted a substantial decline, falling more than 15 cents per gallon nationally. However, the coast is anything but clear. Oil prices edged higher Sunday evening as uncertainty surrounding a potential deal persisted and renewed Israeli attacks added another layer of geopolitical risk. While motorists may continue to see some short-term relief, some price-cycling states could soon experience another upward swing as retailers run out of room to lower prices further. Overall, any setback in negotiations could quickly reverse the recent decline in fuel prices," said Patrick De Haan, head of petroleum analysis at GasBuddy.