Petrol prices in the UAE continued their downward trend for a second consecutive month in April 2025, driven by global economic uncertainty and a steep drop in crude oil prices.
Rates for Super 98, Special 95, and E-Plus 91 fell to Dh2.57, Dh2.46, and Dh2.38 per litre, respectively, with further reductions expected for May.
The decline follows a sharp drop in Brent crude prices, which tumbled to as low as $62.8 per barrel in early April as the US tariff dispute intensified and recession fears weighed on global markets. Throughout April, Brent mostly traded within the $60s range, averaging $66.6 a barrel compared to nearly $71 the previous month.
In the UAE, retail fuel prices are directly tied to international benchmarks, a policy introduced in 2015 to support market deregulation. Under this system, local petrol prices are adjusted monthly, typically announced on the last day of each month.
The current slide in oil prices has been influenced not just by tariff tensions but also by the Opec+ decision to ramp up production at a faster pace than anticipated, adding further pressure on global crude markets.
Investment firm Saxo Bank forecasted earlier this month that Brent would trade between $65 and $85 a barrel in the second quarter, highlighting continued volatility. Meanwhile, US sanctions targeting Iranian and Venezuelan oil exports have added a geopolitical layer to the market’s movements, with Washington signalling a willingness to endure higher oil prices to achieve broader strategic goals.
As May approaches, UAE consumers and businesses alike are watching for another potential drop in fuel costs, offering some relief amid an otherwise cautious global economic outlook.
News Source: Khaleej Times
