Motorists across the UAE will pay significantly less for fuel from July 1 after authorities announced a sharp reduction in petrol and diesel prices, reflecting the recent decline in global oil prices.
According to the revised pricing schedule, Super 98 petrol will cost Dh3.40 per litre, down from Dh3.95 in June. Special 95 petrol has been reduced to Dh3.29 per litre from Dh3.83, while E-Plus 91 will be priced at Dh3.21 per litre, compared with Dh3.76 previously.
Diesel users will also benefit from lower prices, with the rate falling to Dh3.60 per litre from Dh4.33 in June.
The reductions come after months of elevated fuel prices that followed the outbreak of conflict in the Middle East on February 28. During that period, retail fuel prices in the UAE climbed by more than 60%, increasing transportation costs for households and businesses across the country.
Oil markets, however, moved lower throughout June as concerns over supply disruptions eased, prompting expectations that domestic fuel prices would also decline. The latest adjustment confirms those expectations and is expected to provide some relief for consumers who have faced higher living costs in recent months.
Fuel prices are reviewed every month in the UAE and closely track international oil market movements. Changes in pump prices directly affect household budgets, particularly for families that rely on private vehicles for daily commuting. Lower fuel costs can also reduce operating expenses for businesses involved in transportation, logistics and delivery services.
The price cuts come during a period of major changes in the UAE’s energy policy. On April 28, the government announced that the country would leave OPEC and OPEC+ from May 1, 2026, ending more than six decades of membership in the producer alliance.
Energy analysts have said the move could allow the UAE to gradually increase crude oil production beyond the limits previously set under OPEC+ agreements. The country has invested heavily in expanding production capacity in recent years and could eventually raise output by as much as 30% above earlier quota levels, depending on how quickly additional capacity is brought online.
While global oil prices remain influenced by geopolitical developments and shifts in supply and demand, the decline recorded during June has translated into immediate savings for UAE motorists.
The latest reduction is expected to ease pressure on consumers after several months of higher fuel costs and may also provide support to businesses by lowering transportation expenses as the country enters the second half of the year.
