Diesel Cost per Gallon in Texas (2026)

Why Diesel Costs $4.69/Gal in Texas

Texas is consistently the cheapest state for diesel fuel. The Gulf Coast refining complex - centered on the Houston Ship Channel - is the largest in the US and the world, processing over 5 million barrels per day of crude. Texas also has a low state diesel tax of just 20 cents per gallon, well below the national average. High interstate freight density (I-10, I-20, I-35, I-40 all cross Texas) creates intense retail competition among truck stops, driving cash prices down. Owner-operators and fleet dispatchers in the Sunbelt heavily route through Texas for fueling when deadhead or repositioning allows.