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California Gas Tax Rises 2.2 Cents Per Gallon as Pump Prices Hit $5.58, GOP Demands Freeze

7/1/2026

California's gasoline excise tax increases by 2.2 cents per gallon on Wednesday, lifting the state's excise rate to 63.4 cents per gallon and pushing the total per-gallon surcharge burden — including sales tax and local fees — to roughly $1.15.

Republican members of California's congressional delegation, led by Rep. David Valadao, sent a letter to Gov. Gavin Newsom on Friday urging him to suspend the hike before it takes effect.

Price Level and Tax Breakdown The average California retail gasoline price stands at $5.58 per gallon, according to AAA data cited in the lawmakers' letter — the highest in the nation and $1.65 above the national average.

Of that $5.58, approximately $4.43 reflects the underlying cost of gasoline; taxes and fees account for the remainder.

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