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UAE Fuel Prices Surge Up to 72% in April 2026: Diesel Hits Dh4.69 as Gulf War Disrupts Global Oil Supply Through Hormuz

DD

DigitalDubai.ai

Editorial Team

Sunday, April 12, 20266 min read
Key Takeaway

UAE motorists face the sharpest fuel price increase in the nation's history as April 2026 rates jump 31-72% month-on-month. Diesel has surged to Dh4.69 per litre while Super 98 petrol hit Dh3.39, driven by Brent crude nearing $120 per barrel amid Strait of Hormuz supply disruptions.

Original reporting by Gulf News
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The United Arab Emirates has announced its steepest monthly fuel price increase on record, with April 2026 rates surging between 31 and 72 percent compared to March. The Fuel Price Follow-up Committee confirmed that Super 98 petrol will now cost Dh3.39 per litre, Special 95 will retail at Dh3.28, E-Plus 91 at Dh3.20, and diesel at a staggering Dh4.69 per litre. The increases, driven by Brent crude oil nearing $120 per barrel amid severe supply disruptions in the Strait of Hormuz, mark an unprecedented burden on motorists, businesses, and the broader logistics chain across the Gulf state.

Dh3.39 Super 98 per litre (up 30.9%)
Dh3.28 Special 95 per litre (up 32.3%)
Dh3.20 E-Plus 91 per litre (up 33.3%)
Dh4.69 Diesel per litre (up 72.4%)

Full Breakdown: April vs March Prices

Super 98 rose from Dh2.59 to Dh3.39 (+30.9%). Special 95 climbed from Dh2.48 to Dh3.28 (+32.3%). E-Plus 91 moved from Dh2.40 to Dh3.20 (+33.3%). Diesel leapt from Dh2.72 to Dh4.69 (+72.4%).

Key Figure: Diesel prices surged 72.4% in a single month, the largest single-month increase for any fuel grade in the history of the UAE's deregulated pricing system.

Why Prices Surged: Brent Crude and Hormuz

Brent crude surged more than 50 percent in a single month to near $120 per barrel — the fastest monthly appreciation since 2008. The cause: the ongoing Gulf War's devastating impact on shipping through the Strait of Hormuz, through which approximately 20% of the world's oil supply passes daily. The conflict has led to intermittent blockages, heightened insurance premiums, and shipping companies' reluctance to route vessels through the area.

"What we are witnessing is a supply shock of a magnitude not seen since the 1973 oil embargo. The Strait of Hormuz is not just a regional concern; it is a global artery." Dr. Faisal Al-Rashid, Senior Energy Analyst, Gulf Institute for Strategic Studies

How UAE Fuel Prices Are Set

Since 2015, the UAE has operated a deregulated fuel pricing system. The Fuel Price Follow-up Committee reviews global oil benchmarks, refining margins, and international market conditions monthly. There is no buffer mechanism, stabilisation fund, or price ceiling. When Brent crude experiences a 50% rally, the pass-through to consumers is swift and substantial.

Impact on Motorists

A typical sedan with a 60-litre tank running Special 95: March fill-up cost Dh148.80; April costs Dh196.80 — an extra Dh48 per tank.

Monthly Cost Impact: Drivers refueling twice weekly now face Dh380-500 in additional monthly fuel costs. Over a year at these rates, that's Dh4,560-6,000 extra.

For families with two vehicles, the burden doubles. Commuters driving between Abu Dhabi and Dubai or Sharjah and Dubai face monthly fuel bills approaching Dh1,600-1,800.

Diesel Shock: Commercial and Logistics Fallout

The 72.4% diesel increase poses the gravest threat to the broader economy. Diesel powers trucks, construction equipment, generators, and fishing boats. The cost shockwave will hit every link in the supply chain.

"The diesel price increase is a body blow to the commercial transport sector. Some smaller fleet operators may not survive this if prices remain elevated for more than two to three months." Khalid Mahmoud, Director of Operations, Emirates Logistics Association

Delivery services, construction, and food supply chains are all particularly vulnerable. Companies face the choice of absorbing costs or passing them to consumers.

Year-on-Year Comparison

Compared to April 2025, petrol is up 30-35% across all grades. Diesel is approximately 80% higher than twelve months ago when Brent was trading at $70-80 per barrel and the Strait of Hormuz was functioning normally.

Global Comparison

  • Philippines: Diesel prices surged over 80%
  • Nigeria: Diesel up more than 80%
  • Australia: Diesel climbed more than 50%
  • Saudi Arabia: Regulated pricing saw slower, modest adjustments
  • India: State-controlled companies held prices relatively steady
  • China: Gradual adjustments shielded consumers

What Drivers Can Do

  • Maintain optimal tyre pressure: Under-inflated tyres reduce efficiency by 3-5%
  • Adopt smoother driving: Cruise control on highways reduces consumption
  • Reduce unnecessary weight: Remove roof racks and cargo
  • Consolidate trips: Combine errands, use efficient routes
  • Consider carpooling: UAE carpooling platforms report surging registrations
  • Use public transport: Dubai Metro, Abu Dhabi bus services offer fuel-free alternatives
  • Service regularly: Clean filters and fresh oil improve efficiency

Broader Economic Implications

Energy costs are embedded in virtually every good and service. Economists warn sustained elevated fuel prices could add 2-4 percentage points to UAE consumer price inflation. Grocery prices, restaurant bills, and delivery charges will all edge higher. Lower-income residents will be disproportionately affected.

Inflation Warning: Analysts project sustained April 2026 fuel prices could add 2-4 percentage points to UAE consumer price inflation, with greatest impact on food, transportation, and delivery services.

Future Outlook

If the conflict de-escalates and Hormuz shipping normalizes, Brent could retreat and UAE fuel prices would follow in subsequent months. If disruption persists or worsens, Brent could push $130-150 and May/June prices could climb higher.

"If there is a credible path to de-escalation, we could see Brent pull back to $90-100 within two to three months. But if the situation deteriorates, we are looking at potential prices that would rival the all-time highs of 2008." Sarah Chen, Chief Commodities Strategist, Asia-Pacific Energy Research

The crisis has reignited conversations about energy diversification and accelerated EV adoption. Government incentives for electric vehicles, expanded charging infrastructure, and lower registration fees may see increased uptake as consumers seek to insulate themselves from fossil fuel volatility.

Frequently Asked Questions

How much have UAE fuel prices increased in April 2026?

Petrol prices rose 31-33% while diesel surged 72.4%. Super 98 is now Dh3.39/litre (from Dh2.59), Special 95 is Dh3.28 (from Dh2.48), and diesel hit Dh4.69 (from Dh2.72).

Why did fuel prices increase so much?

Brent crude surged over 50% in one month to near $120/barrel due to supply disruptions in the Strait of Hormuz caused by the ongoing Gulf War.

How much extra will motorists pay monthly?

A 60-litre sedan now costs Dh196 to fill vs Dh148 in March (Dh48 extra). Drivers refueling twice weekly face approximately Dh380-500 in additional monthly costs.

How do UAE prices compare globally?

Diesel prices rose over 80% in the Philippines and Nigeria, and over 50% in Australia. Countries with regulated pricing like Saudi Arabia, India, and China saw slower adjustments.

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