UAE Petrol Prices are scheduled for their next price adjustment next week, and current indications suggest that drivers will face a minor price increase in May. The Fuel Price Committee in the UAE will reveal the official rates on April 30, but international market trends already indicate an upward price trend.
April already brought a sharp UAE fuel price hike, with petrol rates rising by around Dh0.80 per litre after oil surged in March. Current prices stand at Dh3.39 for Super 98, Dh3.28 for Special 95, and Dh3.20 for E-Plus.
The current situation remains unchanged because crude prices remain stable yet continue to exert pressure. The smallest changes in global oil benchmark prices result in immediate pump price increases, which affect all types of transportation costs.
The global oil market has seen unpredictable price swings during April. Brent Crude Oil Prices averaged $99.16 per barrel, up from the March price of $96.96.
Prices briefly softened after a ceasefire extension between the US and Iran, but climbed back above $100 as tensions resurfaced. The volatility of fuel price changes creates challenges for markets that rely on imported fuel to determine their fuel costs.
The closure of the Strait of Hormuz serves as a main reason for the current increase in oil prices. The supply disruption, which began in late February, has reduced global oil supply by 10 to 13 million barrels per day, representing about 12% of total production.
This supply shock, driven by the wider Middle East oil crisis, is one of the most significant since the 1970s. With fewer barrels available, prices naturally climb.
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The Fuel Price Committee of the UAE establishes local fuel prices according to international price movements. The rise in average crude prices during April will lead to a minor price increase for May.
However, any decision will also take into account short-term price easing and geopolitical developments in the final days of the month.
For now, a return to Dh4 per litre seems unlikely, but not impossible. The petrol price in the UAE crossed that mark in 2022, when Super 98 hit Dh4.63 during the Russia-Ukraine crisis.
The present situation displays some common features with supply interruptions and geopolitical danger. Fuel prices will approach that threshold again if tensions rise or oil prices remain above $100.
The simple conclusion for regular people is that international developments currently determine their gasoline expenses.