New Mexico Gas Prices and Why They Are What They Are
Prices as of October 04, 2026, per AAA · Updated October 14, 2026
As of October 04, 2026, regular gasoline in New Mexico averages $4.35/gallon (the 21st-highest in the U.S.), per AAA. $0.02 below AAA's national average of $4.37 on 2026-10-04. State fuel taxes and fees are 18.9 cents per gallon (Tax Foundation, 2026 edition). Federal gasoline tax adds 18.4 cents per gallon.
How New Mexico got here
Weekly snapshots of AAA state averages, recorded by this site since July 6, 2026. AAA state averages.
Where the $4.35 goes
| Component | $/gallon | Share | Source |
|---|---|---|---|
| Monthly WTI crude proxy | $2.00 | 45.9% | EIA monthly WTI |
| Federal and New Mexico fuel taxes | $0.37 | 8.6% | Tax Foundation, 2026 edition |
| Unallocated residual (after the monthly WTI crude proxy and taxes) | $1.98 | 45.5% | computed; not attributed to components |
The crude-oil share of the price is set by a world market that every state's refiners buy from; the differences between states come from taxes, fuel specifications, and refining and distribution costs. EIA: factors affecting gasoline prices.
Why New Mexico is below the U.S. average
Taxes and supply costs
New Mexico's state fuel tax ranks 48 among the 50 states (Tax Foundation, 2026 edition). The crude-oil share of the price is set by a world market that every state's refiners buy from; the differences between states come from taxes, fuel specifications, and refining and distribution costs. The amount after the crude proxy and taxes is the unallocated residual after crude and taxes.
What a gallon costs in work time
At New Mexico's median hourly wage of $22.70 (BLS OEWS, May 2025), a gallon of regular costs 11.5 minutes of work. BLS OEWS. Compare gasoline affordability.
State policies that show up at the pump
| Policy or supply base | Detail | Source |
|---|---|---|
| Refining base | 1 operating refineries, 110,000 b/d (EIA Refinery Capacity Report 2026, as of 2026-01-01) | Source |
State government control
| Control in 2026 | Unified Democratic |
| Years of unified Democratic control, 2001–2026 | 16 |
| Years of unified Republican control | 0 |
| Years of split government | 10 |
Party control by year from Ballotpedia, compiled 2026-09-08; counts computed at build. Ballotpedia.
Questions people ask
How does New Mexico compare with the U.S. this week?
$0.02 below AAA's national average of $4.37 on 2026-10-04.
What share of the price is tax?
Combined state and federal taxes are 8.6% of regular (Tax Foundation, 2026 edition).
What does diesel cost in New Mexico?
AAA diesel averages $6.04 as of October 04, 2026.
Compare: all states ranked · New Mexico electricity rates · gasoline prices by country · refining · why gas prices are high.
Sources: AAA (pump prices), Tax Foundation, 2026 edition, EIA federal gasoline tax, EIA monthly WTI, EIA weekly retail gasoline, and BLS OEWS. The residual is computed, not attributed to components. See methodology.