In a notable shift after five months of steady rates, fuel prices in the United Arab Emirates (UAE) have decreased for July, aligning with a global trend of easing crude oil prices due to improved supply conditions. This reduction comes as international oil markets stabilize, following diplomatic progress and increased exports from major oil producers.
The adjusted prices at the pump are as follows: Super 98 now costs Dh3.40 per litre, down from Dh3.95; Special 95 has decreased to Dh3.29 per litre from Dh3.83; E-Plus 91 is priced at Dh3.21 per litre, reduced from Dh3.76; and diesel now stands at Dh3.60 per litre, a drop from Dh4.33. These figures reflect the first monthly price cut since earlier this year, offering some relief to consumers in the region.
The decline in fuel prices is attributed to a drop in international crude oil benchmarks, which have been influenced by diminished concerns over supply disruptions in the Middle East. Key factors include successful diplomatic engagements involving the United States and Iran, as well as smoother operations through the vital Strait of Hormuz shipping lane, which have collectively contributed to stabilizing the global energy market.
Since 2015, the UAE has pegged its domestic fuel prices to global oil market trends. Analysts suggest that the current reduction is a result of increased oil supplies worldwide, higher export volumes from prominent producing nations, and the recovery of regional shipping routes. These developments have collectively supported the latest downward adjustment in UAE fuel prices.