Gas Prices in Michigan
Gas prices in Michigan changed in a quiet but important way this year: since Jan. 1, 2026, the state no longer charges sales tax on gasoline and collects a higher per-gallon tax instead. The EIA doesn’t publish a Michigan average, but the Midwest region the state belongs to averaged $4.15 for regular in the week of Oct. 12, 2026, about 18 cents below the U.S. average and up about 4 cents in a week. That’s roughly $1.33 more than a year earlier. Here’s what the tax change means for you, why Michigan prices jump, and how to pay less.
Prices: EIA weekly data, updated automatically · By Nathan Brooks · Reviewed Oct. 15, 2026
Regular and diesel: EIA Midwest average for the week of Sept. 21, 2026. The EIA doesn’t publish a separate weekly average for Michigan, so we show the Midwest regional average, which Michigan is part of.
What drives gas prices in Michigan
- A new tax structure in 2026. Starting Jan. 1, 2026, Michigan stopped charging sales tax on gasoline and raised its per-gallon tax instead. I think that’s a better deal for drivers in a year like this one: a percentage tax grows when pump prices rise, while a per-gallon tax stays the same. The total is now more predictable.
- Midwest supply. Michigan gets fuel from Midwest refineries, including one in Detroit. Outages in the region can push prices up quickly, and Michigan tends to move with Ohio, Indiana and Illinois rather than with the national average.
- Price cycles. Like Ohio and Indiana, many Michigan cities see sharp one-day price jumps followed by slow declines. Once you notice the pattern on your route, you can use it. Best day to buy gas.
Michigan vs. neighboring states
| State | Regular (this week) | State gas tax | Tax vs. Michigan |
|---|---|---|---|
| Michigan | $4.39 | 53.4¢ | — |
| Ohio | $4.48 | 38.5¢ | −14.9¢ |
| Indiana | $4.39 | 63.1¢ | +9.7¢ |
| Wisconsin | $4.39 | 32.9¢ | −20.5¢ |
Prices: EIA weekly averages. States without their own EIA average show their region’s average (Indiana and Wisconsin use the Midwest average), so real border differences can be bigger or smaller. Taxes: Tax Foundation, July 1, 2026 (state taxes and fees, excluding the 18.4¢ federal tax).
Two fuel bills to plan for this winter
The Midwest went slightly against the national trend in the week of Oct. 12, rising while most of the country fell. That fits a familiar pattern in Michigan: regional refinery news and local price cycles matter more here than the national headlines.
Winter is the other big factor. Cold weather cuts gas mileage, and many Michigan households also heat with propane, so fuel costs double up from November to March. I’d use Meijer or Kroger fuel rewards for the car, time fill-ups to the price cycle, and lock in a plan with your propane supplier before the first deep freeze. — Nathan Brooks
What to watch next
The first deep freeze. Cold weather lowers gas mileage and raises propane demand at the same time. Check your tank gauge before it arrives and order at about 30%.
Best ways to save on gas in Michigan
- Meijer (based in Grand Rapids) runs fuel promotions for mPerks members at Meijer gas stations. Check the app before you fill up; the promotions come and go.
- Kroger fuel points across much of Michigan (100 points = 10¢ off per gallon). How Kroger points work.
- Costco and Sam’s Club in metro Detroit, Grand Rapids and other cities, often with the lowest prices nearby. Club gas guide.
- Time the cycle. Fill up late in a slow decline, before the next jump.
- Winter driving: cold weather cuts gas mileage by 10% to 20% in town. Combine short trips and skip long warm-ups; modern engines don’t need them. More ways to save.
Programs and terms are set by each company and can change. Check the official site or app before you sign up.
Propane in Michigan
Propane matters a lot in Michigan, which uses more of it for home heating than any other state. The good news is that prices start the season below the national average: $2.34 a gallon in the EIA’s first weekly survey (Oct. 5, 2026), versus $2.60 for the U.S. Last winter Michigan averaged $2.26 and peaked at $2.37 in February, so prices here have been fairly stable. Even so, a big tank and a long winter make for a large bill, so ask your supplier about pre-buy or budget plans now. Compare states on our propane prices by state table.
- Grill and RV tanks: where to refill propane and exchange vs. refill.
- Home tanks: tank sizes and how long a tank lasts, and a fill-up cost calculator.
- Help with heating bills: Michigan energy assistance (state profile) can help eligible households pay for heating fuel, including propane.
Quick answers
Did Michigan’s gas tax change in 2026?
Yes. On Jan. 1, 2026, Michigan replaced the sales tax on fuel with a higher per-gallon tax. The state total is 53.4¢ a gallon as of July 1, 2026, according to the Tax Foundation.
Why do Michigan gas prices jump suddenly?
Many Michigan cities have price cycles: stations raise prices all at once, then slowly lower them over several days.
Is propane cheap in Michigan?
Michigan’s home propane prices are below the U.S. average. In the EIA’s first weekly survey of the 2026-27 heating season (Oct. 5, 2026), Michigan averaged $2.34 a gallon, compared with $2.60 for the U.S.
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Sources
EIA Gasoline and Diesel Fuel Update · Tax Foundation: state gas tax rates (July 1, 2026) · EIA weekly residential propane prices · Michigan Department of Treasury: fuel tax changes · Meijer fuel promotions · Michigan energy assistance (state profile)
FuelPriceScout is an independent information site. We don’t sell fuel and we’re not affiliated with any gas station, retailer or rewards program mentioned here. Prices are averages from public sources and are not what a specific station charges; program terms can change, so always check the official site before you sign up. How we get our data.