Rising gasoline prices have yet to significantly impact Las Vegas tourism, according to Steve Hill, president and CEO of the Las Vegas Convention and Tourism Authority.
Speaking Tuesday after an LVCVA board meeting, Hill said resort companies have historically used incentives, such as gas gift cards or vouchers, to encourage visitors from drive markets like California, Arizona, and Utah, the Las Vegas Review-Journal reported.
“You can put together packages that can overcome the cost of gas fairly easily,” Hill said. “It’s an important component, but you know it’s not going to be 10 and 20 percent of the cost of a trip to Las Vegas for sure.”
Gasoline prices have jumped sharply over the past week due to unrest in the Middle East, a major oil-producing region. AAA reported Tuesday that the national average for regular gasoline hit $3.539 per gallon, up 1.8% from Monday and nearly 14% from a week earlier. Prices are 21% higher than a month ago and 15% higher than a year ago.
Diesel fuel costs have also climbed. AAA reported a national average of $4.78 per gallon on Tuesday — a 2.8% increase from Monday and 31.9% higher than a year ago.
In Western states, where Las Vegas draws many drive-in visitors, prices are even higher. Nevada’s average is $4.297 per gallon, Arizona’s is $3.968, and California’s soars to $5.29. Utah remains lower at $3.40 per gallon.
Three of the nation’s seven states with the highest gasoline prices — California, Nevada, and Arizona — are key Las Vegas drive markets. Airline ticket costs may also rise due to higher jet fuel prices, affecting roughly half of the city’s visitors who arrive by plane.
Some states are exploring gasoline tax holidays to relieve pressure at the pump.
Connecticut Gov. Ned Lamont recently proposed a temporary suspension of the state’s gas tax to mitigate price increases. Nevada Gov. Joe Lombardo has discussed similar ideas in the past, though no current proposals are under consideration. Nevada’s state gas tax is 23.81 cents per gallon, among the lower rates nationally.
Experts note that crude oil prices remain the largest factor affecting gasoline costs. “About 60 percent of what you pay at the pump is reflective of the price of a barrel of crude oil,” said AAA spokesman John Treanor. “That is the biggest single impact that is going to happen on what you pay at the pump. So if you’re looking for a canary in the coal mine, take a look at what crude oil prices are doing, and typically, gas prices follow.”
Patrick De Haan, Lead Petroleum Analyst for GasBuddy, noted that disruptions in the Strait of Hormuz, off southern Iran, are contributing to rising crude oil and gasoline prices.
Despite the spike, Las Vegas saw strong attendance at ConExpo-Con/Agg, the triennial construction equipment trade show, which drew an estimated 140,000 visitors last week. Many attendees were already in the city before recent Middle East hostilities intensified, masking the immediate effect of rising gas costs.
Gas prices in Las Vegas have climbed more than 50 cents per gallon since the escalation, pushing costs well beyond $5 per gallon in California, the city’s largest tourism feeder market.
Original article: https://www.yogonet.com/international/news/2026/03/11/118009-las-vegas-tourism-remains-robust-despite-rising-gasoline-prices-says-lvcva-ceo
