The United Arab Emirates (UAE) has seen a drop in fuel prices for July, marking the first decrease in five months as global oil prices have softened due to improved supply conditions. This adjustment comes as a relief to consumers in the region, where fuel costs are closely aligned with international oil market fluctuations.
The new pricing structure for fuels in the UAE is as follows: Super 98 is now priced at Dh3.40 per litre, down from Dh3.95; Special 95 has decreased to Dh3.29 per litre from Dh3.83; E-Plus 91 is available at Dh3.21 per litre, reduced from Dh3.76; and Diesel has seen a significant drop to Dh3.60 per litre from Dh4.33.
This price reduction is largely attributed to a decline in global crude oil benchmarks, which have been influenced by easing concerns over supply disruptions in the Middle East. Diplomatic progress involving the United States and Iran has played a role in stabilizing the situation, alongside improvements in shipping operations through the crucial Strait of Hormuz, a vital passage for global energy transport.
Since 2015, the UAE has pegged its local fuel prices to the trends in the international oil markets. Analysts point out that the increase in global oil supplies, higher export rates from major oil-producing countries, and the normalization of regional shipping routes have all contributed to the recent easing of fuel prices in the Emirates.
