Probably lower taxes.

Well I wish I could say for sure. Their oil and gas industries are state owned and the wages are supposedly lower there. I did just read that my state charges appox. .27 cents tax on each gallon.

I believe the Mexican govt subsidizes gasoline.

Because they have to use twice as many pesos! Their pesos are continually dropping in value!

They have nationalized gas. Also, I'm pretty sure their government doesn't put all the moratoriums on drilling that our government does. American Patriot emailed me a Judiciary hearings transcript with the CEO's of the major American Oil Companies. It was very eye opening in many ways, one of them being why American oil companies cannot compete with countries that have nationalized oil and gas. Those countries are selling us their gas and making a profit but we cannot compete in the global market because of limits on drilling and refining. Their is only a little slice of the Texas/Louisiana coast where any drilling or exploration is permitted. Even though the vast majority of oil spills happen during shipping (and even shipping is very very safe now, and not during drilling you still can't get the dems to lift the moratoriums. It's effing insanity. And I can't believe we keep putting them in office, just so they can ruin the hardworking people of this country.

They have nationalized gas,as well as many other countries that have low gas prices.Iran's prices are about 40 cents a gallon.It is about time for the US to nationalize the gas and be run by the government.Then the gas prices would be half what they are now and the prices regulated not to go up randomly as it does now.

Their entire oil and gasoline-refining industries are under state control and gasoline is subsidized. However, this sort of state control leads to BIG problems... Ask yourself this general question: why do so many Mexicans wish to leave their country?

They are very lucky.....Why do Americans pay less than half price for Gas/Petrol than the British do :o((

Americans still pay less than half of what most Europeans pay for gas.

I think we need to stop whining about inflating gas prices, im a little curious to each individuals reason for all this crying about the rising cost? Is it because of your own pocket or are you concerned for your less fortunate citizens??? What kind of car do each of you own anyway?

cause mexicans arent at war?

Their government allows them to drill for their own oil.

cuz their cars are half the size...

Because the Peso is now a stronger currency than the Dollar?

if yer in mexico.. its cause they can get over on americans.. if yer in the US.. you went to a mexican only gas station and paid twice as much.. hrm.. Why is gas in mexico half the price than in the US? 1. probably costs less to get the gas there 2. just because its half the price compared to the US doesnt mean its cheap for them..you can buy a home that would cost you half a million dollars here but only pay 50-60 thousand there.

Economies of scale I would surmise.

they pay nothing if they siphon it from your car... i think this may have happened a few times but i don't care nun

The Mexican gas is subsidized. Plus the gas they buy is from the United States. It's the price we pay to let them send us their workers.

The same reason the Americans pay one third the price the British pay TAXES.

It has nothing to do with taxes. Sorry Ron Paul supporters and other fashionably faux 'libertarians': taxes are not the root of all evil. Find another boogeyman with which to scare small children (and yourselves). There are two reasons gasoline is inexpensive in Mexico (three actually) 1) Mexico is a net exporter of petroleum. That is, they produce far more crude oil than they use domestically, so they can sell the rest. With the current (July 2008) astronomical cost of a barrel of oil, PEMEX is raking in dollars hand over fist.(To the tune of $16,000,000,000, yes, 16 billion with a 'b' dollars from January to May of this year alone: http://www.pemex.com/files/dcpe/petro/evalorexporta_ing.pdf) 2) PEMEX: Petróleos Mexicanos (http://www.pemex.com/index.cfm), the national petroleum corporation of Mexico. All petroleum produced in Mexico is technically the property of the Mexican people, held and sold for them, in trust of the Mexican federal government. The proceeds from sales of petroleum exports subsidize the price of gasoline, and other refined petroleum products, of which Mexico is a net *importer.* 3)Lax (by US standards) environmental regulations. Though not a major contributor to the price of gasoline or the cost of crude production, the cost incurred from meeting environmental reg is not negligible, and it's a lot less expensive 'down Mexico way.' But to be fair, PEMEX has been a competent steward of the environment(http://www.rigzone.com/news/article.asp?a_id=28346), although they do have their detractors (http://www.treehugger.com/files/2007/11/pemex_must_do_m.php). But let's face facts, recovering petroleum is a messy, dirty, smelly, hazardous enterprise. There's no such thing as 'clean' oil (or coal for that matter).