The US national average gas price dropped to $3.999 per gallon on Thursday, according to AAA, down nearly 3 cents from the day before. This milestone comes just as the Strait of Hormuz is set to reopen, part of an official memorandum of understanding between Iran and the United States to end the war.

Impact on Gas Prices

The national average price at the pump has fallen every day since hitting a high of $4.56 on May 21 on hopes that ongoing negotiations would lead to a reopening of the strait. However, experts don’t expect prices to hit the pre-war average of $3 per gallon any time soon.

It will take time for the flow of oil to return to normal levels. Matt Smith, lead oil analyst at Kpler, told CNN it will likely take three or four months to fully get tankers sailing through the strait again. To replenish supplies lost during the months of fighting will take even longer, he added.

Gas station owners will also lower prices at a slower pace than they raised them. That’s because many cut into their own profit to stay competitive as wholesale gas prices rose. Many may now try to make up for that loss.

Original reporting: KTVZ (Central Oregon) — read the source article.