Fuel prices in the United Arab Emirates will increase from May 1, 2026, as global oil market uncertainty continues to influence domestic rates.

According to the latest price revision, Super 98 petrol will be sold at Dh3.66 per litre in May, while Special 95 will cost Dh3.55 and E-Plus 91 will be priced at Dh3.48. Diesel rates, however, have been left unchanged at Dh4.69 per litre.

The increase follows weeks of turbulence in global crude oil prices, triggered by geopolitical tensions in the Middle East and disruptions to key energy supply routes. The Strait of Hormuz, a vital artery for global oil shipments, has been at the centre of supply concerns, pushing prices higher in international markets.

 

The UAE’s fuel pricing mechanism, which has been linked to global benchmarks since deregulation in 2015, means local petrol prices move in line with international crude trends. As a result, consumers in the country are seeing a direct impact of the ongoing oil price volatility.

The latest price hike also comes just days before the UAE formally exits OPEC and OPEC+ on May 1, a significant policy shift after more than 60 years of membership. The move signals a transition towards a more independent production strategy, allowing the country greater flexibility to expand output.

Industry observers say the UAE could raise oil production significantly in the coming months, potentially exceeding previous quota limits by up to 30 per cent. However, the extent and timing of any increase will play a critical role in shaping global oil prices.

A gradual rise in supply is expected to have limited immediate impact on the market. In contrast, a more substantial increase could help ease price pressures, particularly if normal shipping activity resumes through the Strait of Hormuz. On the other hand, a sharp surge in output may push prices lower unless matched by stronger global demand.

The UAE’s departure also raises questions about OPEC’s ability to manage supply and influence market expectations without one of its key producers.