Fuel Prices Surge Sharply in Germany Amid Iran War, Government Acts to Stabilize Market

Fuel prices in Germany have seen a significant rise due to the ongoing Iran war, with diesel prices soaring 44% above pre-conflict levels, far outpacing the 29% average increase across the European Union. Gasoline prices in Germany have also risen by 29%, compared to a 16% EU average increase during the same period. This spike reflects the 27% rise in crude oil prices linked to geopolitical tensions disrupting critical shipping routes like the Strait of Hormuz, through which roughly 30% of the world’s seaborne oil passes.

As of March 12, 2026, the average price for a liter of Super gasoline stands at €2.08, up from €1.83 before the conflict, while diesel costs €2.14 per liter, compared to €1.75 previously. Heating oil prices have also climbed, exceeding last year’s sub-euro levels.

In response, Germany has taken decisive action by releasing a portion of its national oil reserves stored in Wilhelmshaven, which holds over 15 million cubic meters of crude oil and petroleum products. This measure aims to ease market anxieties and help stabilize prices, although no immediate supply shortage has been identified. Federal Minister of Economics Katherina Reiche reassured the public that fuel supplies remain secure due to Germany's diverse crude oil sourcing from 30 countries.

The Federal Cartel Office is actively monitoring price developments, with its president Andreas Mundt emphasizing readiness to intervene against any anti-competitive practices by oil companies. However, he acknowledged that geopolitical factors driving the current price increase pose a significant challenge to market regulation.

Despite the dramatic increases, some reports from the ADAC suggest slight recent declines in fuel prices, indicating potential early market stabilization. Moreover, the Fuels and Energy Association does not foresee imminent supply bottlenecks for gasoline, diesel, heating oil, or aviation fuel.

Germany’s fuel price surge not only underscores the impact of international conflict on domestic energy costs but also highlights the government's proactive stance in securing energy supplies and protecting consumers amid global uncertainty.