UAE Fuel Prices Drop in July Amid Global Oil Market Changes

Jul 2, 2026

70 min

Jul 2, 2026 01:30

UAE fuel outlook: Will petrol prices keep falling after July's sharp cut?

## July Fuel Price Reduction

In July, UAE motorists experienced a significant drop in fuel prices, with Super 98 now costing Dh3.40 per litre, down from Dh3.95 in June. Special 95 and E-Plus 91 also saw reductions, while diesel prices fell to Dh3.60 from Dh4.33. This decrease is part of the UAE's monthly fuel pricing mechanism, which adjusts prices based on global crude oil trends.

## Global Oil Market Influences

The reduction in UAE fuel prices follows a decline in international oil prices. This change was influenced by a temporary ceasefire between the US and Iran, which eased tensions in the Strait of Hormuz, a critical oil shipping route. As a result, Brent crude prices fell significantly, ending June near $73 per barrel.

## Future Price Outlook

Energy agencies and banks have revised their oil price forecasts for the latter half of 2026. The US Energy Information Administration expects Brent crude to average below $80 in the third quarter, potentially dropping to $70 by year-end. Goldman Sachs and Morgan Stanley have also adjusted their forecasts, anticipating lower prices if Gulf oil supplies recover quickly.

## Potential Risks and Developments

Despite the current downward trend, analysts warn of potential risks. Any renewed geopolitical tensions or disruptions in the Strait of Hormuz could push oil prices higher again. However, if supply conditions improve, UAE motorists might see further reductions in fuel prices later this year.

Read the full story at the source

What you need to know to get Emirates ID?

Leave your details and get a guide as a gift to avoid mistakes

Article contents