UAE fuel prices
The United Arab Emirates is preparing to announce official fuel prices for the first month of 2026. Motorists and businesses across the nation are watching closely for the monthly update from the Fuel Price Committee. Early indicators suggest that drivers will likely see very little change when they next visit the pump. Analysts predict that prices for both petrol and diesel in January will remain very close to the levels set in December 2025. This forecast of stability follows a period of moderate movement in global oil markets, which directly influences local fuel costs under the UAE’s pricing mechanism.
Global Oil Prices Show Only a Small Year-End Increase
The primary reason for the expected price stability is the behavior of the international oil market. Global crude oil benchmarks recorded only a modest increase as the year 2025 came to a close. This small rise is not substantial enough to trigger a major adjustment in local fuel prices. The cost of Brent crude, a major global benchmark, has been trading within a narrow range. This relative calm in the world’s most important commodity market provides a stable foundation for national fuel pricing, preventing the sharp spikes or dips that lead to significant monthly changes for consumers.
January Petrol Prices Expected to Mirror December’s Costs
For everyday drivers, the most important news is the forecast for petrol. The most commonly used fuels, Special 95 and Super 98, are predicted to see minimal movement. Prices are expected to stay within a few fils of their December 2025 rates. This means filling your car’s tank in early January will cost almost exactly the same as it did in late December. This consistency helps with household and personal budgeting, removing the uncertainty that can come with larger monthly fuel price fluctuations.
Diesel Prices Also Forecast to Hold Steady for Businesses
The outlook for diesel, the fuel vital for the UAE’s transportation and logistics sector, is similarly stable. The price per liter of diesel is also anticipated to remain near its December level. This is crucial news for companies that operate trucks, ships, and industrial machinery. Stable diesel costs allow businesses to forecast their operational expenses more accurately for the start of the new year. It supports smoother financial planning across the supply chain, from delivery services to construction and shipping.
How the UAE’s Monthly Fuel Price Mechanism Works
The UAE government sets fuel prices on a monthly basis using a transparent formula. This formula is linked to the average global price of petroleum products over the previous month. It also includes fixed operational and distribution costs. The Fuel Price Committee meets at the end of each month to review the data and announce the prices for the coming month. This system ensures that local prices reflect international market trends while providing a predictable schedule for announcements.
Comparing Current Prices to the Previous Year’s Trends
To appreciate the forecasted stability, it is useful to look at the trend from the past year. Fuel prices in 2025 experienced both increases and decreases in response to global events. The predicted steady prices for January 2026 would represent a calm period compared to some of the more volatile months in the recent past. This offers a period of respite and predictability for the economy after a year that may have seen more significant adjustments at the pump.
Official Announcement Due in the Final Days of December
Drivers should wait for the official confirmation from the UAE authorities. The Fuel Price Committee will make its formal announcement on December 30th or 31st, 2025. This announcement will list the exact final prices per liter for Super 98, Special 95, E-Plus 91, and diesel. Motorists should check official government channels or trusted news sources at that time to confirm the exact figures before planning major travel or refueling for the new month.
