The UAE Fuel Price Committee has released its official fuel price update for March 2026, giving motorists a clearer picture of how much they will have to pay at the pump for petrol and diesel this month. The monthly revision, which takes effect from March 1, 2026, reflects changes in global crude markets and aligns local retail prices with international trends, as part of a pricing arrangement introduced when the UAE deregulated fuel prices in 2015.
UAE’s new fuel prices for March 2026 amid Iran and US-Israel conflict
Petrol and diesel prices in UAE for March are as follows –
- Super 98 Petrol: Dh 2.59 per liter (up from Dh 2.45 in February)
- Special 95 Petrol: Dh 2.48 per liter (up from Dh 2.33)
- E-Plus 91 Petrol: Dh 2.40 per liter (up from Dh 2.26)
- diesel: Dh 2.72 per liter (up from Dh 2.52)
The increases end a brief period of cheap fuel in early 2026, when prices fell in January and February after earlier declines. The Committee reviews fuel prices monthly to reflect average international oil prices and the costs associated with refining and distribution.
Why fuel prices rose in UAE: Context of global oil market amid Iran and US-Israel conflict
The increase in local pump prices for March comes amid broader global oil price pressure, partly driven by geopolitical tensions in the Middle East, particularly recent increases involving Iran, the United States and Israel, which have pushed crude oil prices higher in recent weeks. These tensions could increase geopolitical risk premiums in oil markets, meaning traders face additional costs due to fears of supply disruptions, particularly around strategically important chokepoints such as the Strait of Hormuz, through which about a fifth of global crude passes.
UAE fuel prices March 2026: Petrol and diesel prices hiked amid global oil pressure
Additionally, crude oil benchmarks such as Brent are running at higher levels than in the months leading up to February fuel prices, prompting the committee to make minor adjustments at the pump.
How the UAE’s monthly fuel pricing system works
Since 2015, the UAE has used a market-linked fuel pricing mechanism. Under this system:
- Oil prices are averaged over the month preceding the pricing decision.
- The government adds refining, distribution and retail costs to determine local prices.
- These adjusted rates are announced at the end of each month and are applicable for the following month.
This approach ensures that UAE petrol and diesel prices reflect real global supply and demand dynamics rather than being fixed – a policy that informs consumers and aligns local fuel costs with international benchmarks.
What does this mean for drivers in the UAE
For everyday motorists and commercial transporters in the UAE, slightly higher fuel costs mean filling up a typical compact car will cost more than last month. The cost of diesel-powered vehicles, widely used in logistics and trucking, will also increase marginally. Monthly budget planning may need to accommodate these changes, especially if crude oil prices remain high.While the March increase is not a dramatic jump, it highlights how closely UAE fuel prices are linked to global oil market movements, which in turn react to factors such as geopolitical events, seasonal demand and production decisions by major oil-producing countries.
Fuel prices soar in UAE: Geopolitical tensions push up costs for drivers
Fuel prices in the UAE are expected to continue to reflect global crude oil dynamics in the coming months. If geopolitical tensions ease or global oil supplies increase, pump prices could stabilize or even decline in late 2026. Conversely, further pressure on crude oil could push fuel rates higher in April and beyond.For now, drivers in the emirate should be prepared for a small increase at the pump, but should also keep an eye on international news and oil markets, as these will shape future pricing decisions. UAE fuel prices rise in March 2026, with petrol and diesel across all major grades rising. Super 98 is Dh 2.59/litre, Special 95 is Dh 2.48, and diesel is Dh 2.72. Price changes reflect global oil market trends, which are influenced by geopolitical risks and fluctuations in crude oil costs. Fuel pricing in the UAE is reviewed monthly under a market-linked system introduced in 2015.