Oil prices jumped earlier this month amid fears the Israel-Hamas war could disrupt supply in the region. While prices have since fallen back – Saudi Arabia has announced that it's working with regional and international partners to stabilise oil markets – investors remain cautious and prices could very well surge again if the conflict escalates across the region.
With motorists around the globe gearing up for the possibility of higher prices at the pumps, read on to discover the average cost for a litre of petrol in 30 countries, ranging from the cheapest to the most expensive. Price data is from GlobalPetrolPrices.com and is correct as of 9 October. All dollar amounts are in US dollars unless otherwise stated.
Globally, the average cost of petrol per litre is $1.35 (£1.10), but prices vary wildly around the world. Although there are several notable exceptions, petrol tends to be more expensive in affluent countries, where goods and services are charged at a premium and fuel incurs higher taxes.
Consequently, petrol tends to be cheaper in oil-rich developing nations where the cost of living is lower, and governments often subsidise the commodity more.
The price of petrol in Venezuela, which boasts the world's largest oil reserves, is set at a minuscule 0.84 bolívar per litre. This works out at a fraction of a US cent, making it the most affordable country to fill up in by a long shot.
However, the country's massively subsidised fuel is reportedly in short supply and middlemen often add on hefty surcharges. Meanwhile, more easily obtainable "international" petrol is far more expensive. This means relatively few Venezuelans pay the rock-bottom price that the government fixes. In any case, petrol shortages, both in terms of subsidised and "international" fuel, have been plaguing the country for quite some time now.
A major oil producer, Malaysia is one of the most budget-friendly places in the world to drive. The nation's government sets the price of RON95 premium unleaded petrol, and the cost of the commodity is kept super-low at just over two ringgits per litre thanks to tax exemptions, generous subsidies, and strict price controls.
The maximum price for RON95 was set in stone in February 2021. This has insulated the nation's vehicle owners from the impact of geopolitical factors including the war in Ukraine and OPEC price fixing.
The Russian government caps the cost of retail petrol, which only ever increases in line with inflation. The average price per litre currently stands at 56 roubles.
After grappling with domestic fuel shortages and higher wholesale prices for petrol and diesel, Moscow slapped a temporary ban on exports of the commodities in late September. The block on diesel exports has been partially lifted, but the petrol export ban remains in place and, according to Reuters, will only be rescinded once the market is saturated with fuel. This may happen sooner rather than later given the wholesale price of petrol has fallen by a hefty 10% since the ban was introduced.
The UAE is a leading oil producer, and petrol costs relatively little in the Emirates. That said, before fuel prices were deregulated in 2015, it was even cheaper to fill up.
The move, which aims to reduce wastefulness and encourage the use of public transport, means the price at the pump is now linked to international oil prices. It's risen in the past few months in tandem with crude prices and currently averages 3.33 UAE dirhams per litre.
As a wealthy country with low petrol prices, the US is something of an outlier. The pro-car nation can keep costs down because it's the world's biggest oil producer and applies minimal taxation to its fuel.
Typical petrol prices in the country are slowly falling, according to the American Automobile Association (AAA). As quoted in Quartz, GasBuddy analyst Patrick De Haan expects retail prices to decline by late November with California likely to see the biggest drop, despite potential global crude oil price pressures precipitated by the situation in Israel and Gaza.
Petrol is cheaper in Australia than in many other well-off developed countries, primarily because taxes are comparatively light.
However, prices have been rising of late due to a number of factors, including the weak Aussie dollar. Data collated by the Australian Institute of Petroleum shows that the average price of unleaded petrol in the country reached an all-time high on 1 October, and while it's since fallen back, costs at the pump remain elevated.
Petrol prices in Japan are comparatively low by international standards but climbed to record highs at the end of August. To tackle this the Japanese government made a U-turn on its plan to reduce subsidies, opting instead to expand them to stem the price surge.
The move is working a treat as prices have been steadily falling. According to the Kyodo News Agency, the subsidies are set to be extended beyond January 2024 and could remain in place for even longer.
Fuel prices in China fluctuate based on global costs, although the government robustly regulates them. This makes for relatively cheap retail petrol prices, which averaged 9 yuan per litre on 9 October. The state-run China Daily reported that the retail price of petrol was further reduced on 11 October in line with international crude prices.
Though petrol in mainland China is relatively cheap, it's a totally different story in Hong Kong. Due to a number of factors, including punishing logistical costs and high taxes, fuel prices in the special administrative region are the most expensive in the world, coming in at the equivalent of $3.09 (£2.51) per litre.
Petrol prices in India are deregulated, though the government can exert control through the taxes it levies and via state-owned oil companies.
The average price per litre of petrol currently stands at 104 rupees, which is low from a global point of view. The typical nationwide price has remained at more or less the same level for over a year now according to India.com, though there have been recent modest hikes in Maharashtra and five other states.
The Indian government has managed to keep costs stable by importing cheap Russian oil in vast quantities despite facing extensive criticism from the West.
Although Canada is a major oil producer, its motorists pay more to run their vehicles than their counterparts south of the border. The difference comes down to taxation, with government levies much higher in Canada than in the US.
Still, the typical price of petrol in the country has fallen of late and is now below the global average of $1.35 (£1.10) per litre.
At just over 25 rand per litre typically, the retail cost of petrol in South Africa remains slightly below the global average. However, the price has been snowballing this year, with the weak rand among the main drivers.
The most recent price hike on 6 October saw prices for petrol and diesel rise between 1.08 and 1.97 rand per litre, putting increased pressure on the nation's motorists. Consumer groups such as the People Against Petrol and Paraffin Price Increase (PAPPI) have proposed a number of measures the government could take to reduce prices, including the introduction of a special tax on monopoly companies.
Now averaging just over 24 pesos per litre, petrol is more expensive in Mexico than in the US and Canada, which may come as a surprise given the typically lower cost of goods and services in the country.
The variance in price can be largely attributed to the widespread trade in illegal fuel (known as huachicoleo) and the fact that Mexico imports a significant chunk of its petrol. Increased demand led to record-high prices in August but the price of regular petrol fell by a little over 1% in September and continues to decrease.
Poland now boasts the third-cheapest retail petrol prices in Europe after Moldova and North Macedonia and the most economical in the EU, with a litre of the black stuff coming in at 6 zloty per litre typically according to GlobalPetrolPrices.com.
In spite of the weak zloty and general increase in crude prices over the past few months, retail petrol prices have fallen considerably in the country. As reported by Notes from Poland, state energy company Orlen, which has a monopoly in the country, was accused of artificially lowering prices in a bid to help the ruling party win re-election, an accusation it has strenuously denied. To take advantage of the rock-bottom prices, motorists from the neighbouring Czech Republic have been flocking to Orlen petrol stations near the border to fill up their tanks.
The good news for non EV motorists in Austria is that the price of petrol is on the low side compared to other Western European countries, currently averaging out at a reasonable €1.66 per litre.
The bad news is that Austrian vehicle owners can expect to pay a lot more from 2024 when carbon pricing increases will kick in. According to the Austrian Association of Drivers, this is expected to add around €7 ($7.43/£6.04) to the cost of filling up the typical tank.
The average price of petrol in Spain rose dramatically over the summer in conjunction with the increase in global crude prices but is starting to drop back. Retailing at an average of €1.68, the figure is down from the peak of €1.75 recorded on 18 September.
Petrol remains more expensive in neighbouring France and Portugal, however, while prices for fuel in tax-free Andorra are markedly cheaper for obvious reasons.
The Belgian government sets a maximum price for petrol, meaning costs for motorists in the country are comparatively low. According to the latest update from GlobalPetrolPrices.com, the typical price of petrol per litre in the country is €1.71.
The International Energy Agency (IEA) has criticised Brussels for maintaining these price controls, which are absent in other Western European countries, citing a number of disadvantages that include discouraging the adoption of greener fuels.
Petrol prices in Sweden currently average a shade over 20 krona per litre. Though typical prices have fallen from record highs in 2022 they remain well above pre-pandemic levels.
In a bid to lower prices and take the heat off motorists, the Swedish government is cutting tax on petrol by 1.64 krona per litre, with the reduction taking effect next year. The decision has been slammed by the opposition, made up of the Greens and Centre Party, who believe the tax cut will undermine Sweden's efforts to go carbon-neutral.
Portugal imposes higher taxes on petrol than neighbouring Spain, with prices currently averaging €1.79 per litre, as opposed to Spain's €1.68.
Surprisingly, motor fuel prices in Portugal bucked the global trend in early September, falling fractionally after a series of hikes. And after a bit of a wobble, they've been trending down again. That said, the average price per litre of petrol is still higher than it was at the beginning of July when it stood at €1.66.
New Zealanders now pay NZ$3.15 for a litre of petrol, significantly more than Australian motorists due to higher taxation.
Reflecting many other countries worldwide, petrol prices in New Zealand have rocketed in recent months, increasing by around 15% since July when the government ended a subsidy on the fuel. The hike in petrol prices was a key issue for voters in the country's October general election, in which the ruling Labour party was swept from power.
German motorists endured a sharp hike in the price of petrol in August as crude shot up in value. The nation's leading motoring organisation claimed excessive pricing by petrol station operators was behind the rise.
Over the past few weeks the average price has fallen and now comes in at a less onerous €1.81 per litre. However, non-EV vehicle owners in the country are bracing for increases in 2024 regardless of global crude prices. Like its Austrian counterpart, the German government is raising carbon taxes, which are expected to translate to a hike of around 3 euro cents per litre of petrol.
According to Worldometer, the UK is the 19th largest oil producer in the world, placing it ahead of countries like Colombia, Australia and Malaysia. Despite this, petrol prices are relatively steep and currently average £1.56 a litre.
While many countries around the world have seen typical petrol prices drop over the past few weeks, prices in the UK have actually increased. This rise would seem to confirm a claim made by the RAC, a leading automotive services company, that petrol is currently overpriced by 7p per litre. Earlier this year, the country's Competition and Markets Authority (CMA) reported that fuel retailers were charging more than they should due to reduced competition, while former UK Energy Secretary Grant Shapps accused them of treating customers as "cash cows".
Petrol prices in Ireland have been on the rise, recently surpassing those in the neighbouring UK, with the average cost per litre for the Irish motorist now a painful €1.85.
Although the Irish government has delayed a proposed increase in excise duty of 8 euro cents due to take effect at the end of October, an increased carbon tax was slapped on petrol on 11 October and is expected to add an additional 3 euro cents to the price of each litre.
The average cost per litre for petrol in France remains historically high but has come down over the past month. The price peaked on 11 September at €1.94 per litre but has since fallen to €1.86.
France's politicians are facing pressure to either cut fuel duty or provide motorists with a bonus, proposals supported by two-thirds of the French population according to a recent survey. The same poll noted that 57% of those surveyed believe current measures "do not improve the situation at all".
The average price of a litre of petrol in Singapore has dropped over the past few weeks and now comes in at S$2.76, down from S$2.88 on 18 September. Despite the drop, the typical petrol price in the affluent city-state is still almost five times higher than in neighbouring Malaysia.
Singapore's high petrol prices can be attributed to a number of factors, including heavy fuel taxation and a steep cost of living. Moreover, the country is regarded as the most expensive in the world for drivers. Incredibly, Singaporeans now have to fork out $107,000 (£88k) for the right to own a car. That's the current typical cost of a Certificate of Entitlement (COE) which motorists are required to bid for before they make a purchase.
Stiff fuel taxes keep petrol prices high in Italy, too. While the cost of a litre of fuel has been decreasing over the past few weeks, it remains comparatively expensive at €1.94.
Pressure has been growing on the Italian government to reinstate a discount on petrol duty that ended in January. But with the ruling party's focus primarily on lowering labour taxes, motorists may have to resign themselves to high prices going forward, despite the recent drop.
Petrol prices have long been on the excessive side in Denmark, though they have dropped back in recent weeks. Currently, the average retail cost for a litre stands at 14.57 krone.
Motorists really do pay through the nose in the Nordic country. Not only are car prices and petrol expensive, road taxes are pricey too. Electric vehicle owners are also feeling the pinch as Denmark is currently the most expensive country in the world to charge an EV.
Home to the EU's highest cost of living and with the fuel taxes to match, Switzerland is one of the world's most expensive countries for petrol, with a litre currently costing drivers around 1.89 Swiss francs.
Mirroring the situation in many countries around the world, petrol prices in Switzerland have fallen slightly of late, having peaked on 4 September at 1.93 Swiss francs per litre.
Norway may be a major oil producer but petrol costs are exceedingly high in the country due to substantial road, carbon, and sales taxes, according to the Norwegian Automobile Federation.
Nevertheless, the average petrol price has been falling in the Scandinavian country since 28 August when it hit 23.95 kroner, it's now 22.73 kroner per litre. As an aside, Norway currently leads the world in EV adoption and more than 20% of passenger vehicles and 80% of new car sales in the country are electric.
Excise duty on petrol is extremely high in the Netherlands, pushing up the typical price of a litre to stratospheric levels. A litre of petrol in the country now costs an eye-watering €2.10, though the price is marginally lower than the €2.13 it hit on 18 September. Many Dutch motorists are choosing to fill up in neighbouring Belgium where petrol costs are drastically lower.
Petrol prices are expected to soar further from the start of the next year when the Dutch government withdraws a tax reduction on fuel and increases petrol excise duty in line with inflation.
While petrol is pricier on average in China's special administrative region of Hong Kong, the most expensive country for the commodity is Iceland.
A combination of high costs for goods and services and surcharges that include special and general petrol taxes – not to mention a carbon levy and VAT – all serve to make fuel exceptionally pricey in the Nordic nation. Currently, a litre of petrol will set you back just over a jaw-dropping 318 króna ($2.31/£1.89), though the price has fallen slightly since 25 September when it exceeded 320 króna.
Reflecting the situation in the UK and some other nations, oil companies and fuel retailers in the country have attracted scrutiny from the Icelandic Competition Authority and the Association of Icelandic Car Owners for allegedly keeping prices artificially high.
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