In a welcome move for residents and businesses, the United Arab Emirates (UAE) has announced a reduction in petrol and diesel prices for the month of January 2026. This decision marks a reversal of the increases witnessed in December 2025 and brings notable relief across all fuel categories.
New Fuel Prices Announced for January
The UAE's Fuel Price Committee made the official announcement on Wednesday, 31 December 2025. The revised rates are set to take effect from 1 January 2026. The new pricing structure reflects a clear downward trend compared to the previous month's figures, impacting every major type of fuel sold in the country.
The updated price list is as follows:
- Super 98 petrol: Now priced at Dh2.53 per litre, down from Dh2.70 in December.
- Special 95 petrol: Now priced at Dh2.42 per litre, down from Dh2.58 in December.
- E-Plus 91 petrol: Now priced at Dh2.34 per litre, down from Dh2.51 in December.
- Diesel: Now priced at Dh2.55 per litre, down from Dh2.85 in December.
Aligning with Global Market Trends
This monthly adjustment is part of the UAE's established policy of fuel price deregulation, which began in 2015. Under this system, domestic fuel rates are reviewed and set each month to mirror the movements in the international oil market. The increase seen in December 2025 has now been offset by this latest cut, allowing the new year to begin on a lighter note for vehicle owners and transport companies alike.
Impact and Policy Continuity
The price reduction is expected to directly benefit a wide range of consumers, from individual motorists to logistics and transport operators, by lowering their monthly expenditure. This monthly revision mechanism underscores the UAE government's commitment to maintaining transparency in fuel pricing and ensuring that local prices accurately reflect global crude oil and refined product markets.
By passing on the savings from lower international benchmarks, the policy offers direct financial relief and helps in managing the cost of living and business operations within the Emirates.
