U.S. gas price expected to exceed 3.25 USD a gallon this summer: AAA

WASHINGTON, July 6 (Xinhua) -- The U.S. national average gas price is expected to rise above 3.25 U.S. dollars a gallon this summer for the first time since October 2014, the American Automobile Association (AAA) said on Tuesday.

The national average gas price has increased 40 percent since the start of the year, from 2.25 dollars per gallon on Jan. 1 to 3.13 dollars per gallon on July 6, according to the AAA.

The U.S. auto club projected a further increase of 10 to 20 cents by the end of August, bringing the national average gas price well above 3.25 dollars per gallon this summer.

"Robust gasoline demand and more expensive crude oil prices are pushing gas prices higher," AAA spokesperson Jeanette McGee said in a statement.

"We had hoped that global crude production increases would bring some relief at the pump this month, but weekend OPEC (Organization of the Petroleum Exporting Countries) negotiations fell through with no agreement reached. As a result, crude prices are set to surge to a seven-year high," McGee said.

McGee's statement came after the Organization of the OPEC and its allies, collectively known as OPEC+, called off a key meeting on Monday. The meeting was initially set for last Thursday and market participants had anticipated the group would agree to continue to moderately increase output beyond July.

The U.S. crude benchmark settled at 73.37 dollars a barrel on Tuesday after trading as high as 76.98 dollars a barrel earlier in the session, its highest level since November 2014.