Motorists across the United Arab Emirates (UAE) are eagerly watching the global oil markets for signs of relief, as the country prepares to announce the UAE November Fuel Prices. After the October price hike, many hope for a dip in pump price this month. However, experts suggest the result will depend on how global oil trends evolve in the coming days.
October Brought Higher Prices for UAE Drivers
October was a tough month for the UAE motorists as the UAE fuel prices increased by 7 to 8 fils per litre across all grades. The following is the list of the current fuel prices:
- Super 98 petrol: Dh2.77 per litre
- Special 95 petrol: Dh2.66 per litre
- E-Plus 91: Dh2.58 per litre
- Diesel: Dh2.71 per litre (up from Dh2.66 in September)
The country has linked monthly adjustments to the international oil benchmarks since the UAE deregulated fuel prices in 2015. However, this means prices rise when the global crude oil costs go up and fall when they fall.
What Changed? The Shift to “Backwardation”
Before sanctions were imposed, the oil market was hinting at the cheaper UAE November Fuel Prices. However, traders saw a shift into backwardation as sanctions took hold. It is a market condition where current oil prices exceed future prices. Hence, it signals the short-term supply tightness.
Arne Lohmann Rasmussen of Global Risk Management said, “Before the sanctions, markets were pointing to a lower price ahead. After sanctions, expectations shifted to higher prices. “ Moreover, analysts at Capital Economics also warned that if sanctions remained strictly enforced, the global oil price market could slip into a supply deficit the next year. Hence, it could potentially keep prices higher for longer.
What It Means for UAE Motorists
Recently, the US crude price dipped below $57 a barrel, which is its lowest since early 2021. However, analysts believe that the UAE motorists should not expect a big price cut in November. However, easing geopolitical tensions could create room for a slight adjustment. Still, the impact of supply restrictions and global price volatility might offset any big decline.
One analyst said, “We will probably start to see motorists feel the impact of the pump within a few days. It depends on how long the sanctions affect last”. In short, the UAE fuel price of November might remain steady or only slightly lower than the rates of October.
What to Expect This Friday
The UAE Fuel Price Committee is going to release the official November rates on Friday, which will determine pump prices for the coming months. So, motorists, ride-hailing drivers, and logistics companies are all keeping a close eye on the announcement, as it will directly affect travel and delivery costs.
Expert Insight & Outlook
Energy experts note that oil prices have remained moderate compared to the past years. However, the short-term uncertainty caused by sanctions and shifting demand is likely to keep markets unstable.
If the current trend holds, fuel prices in the UAE could stay relatively firm heading into November due to the potential for cooling later in the winter. Hence, it provided that supply chain normalize and geopolitical tension ease.
Key Takeaways
- UAE to announce November fuel prices this Friday.
- October saw a 7–8 fils rise across petrol types.
- Global oil volatility and U.S. sanctions are driving uncertainty.
- Analysts predict steady or slightly lower prices for November.
Motorists are going to have to wait just a few more days to see whether relief is finally on the way at the pump. However, the exact UAE November fuel prices will be out this Friday.
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