France diesel price drops below €2 per litre

The average price of diesel in France fell to €1.995 per litre on 12 June, marking the first time since early March that the fuel traded below the €2 threshold. After a peak of €2.239 in April, the decline follows a modest easing in global oil markets, helped by a recent United States‑Iran agreement and Brent crude slipping below $88 a barrel.

The drop comes amid ongoing geopolitical tension, including recent Israel‑U.S. strikes on Iran and a sharp reduction in traffic through the Strait of Hormuz, which could push Brent higher again. The French government, which has already allocated €710 million in aid for sectors hit by earlier fuel spikes, said Minister Sébastien Lecornu will keep the subsidy in place even as prices fall. A temporary €0.20‑per‑litre rebate – the “remise Lecornu” – reduces the cost of a full 50‑litre tank by about €10, but it is set to end in late June. Analysts note that high refining and distribution margins, as well as the fragile Omani Strait situation, limit how much lower crude prices will be passed on to motorists.

Despite the relief, diesel remains the most expensive fuel at about €2.02 per litre on average, and year‑on‑year prices are still up roughly 28 %. The reprieve is therefore viewed as tentative, with the risk of prices rising again if geopolitical pressures or the rebate’s expiry re‑inflate market costs.