New Zealand fuel and airfare prices rise amid global supply pressures

New Zealand motorists face sustained high fuel costs, with 91 unleaded petrol averaging $3.25 a litre. The Automobile Association warns that prices may remain elevated through Christmas due to several factors, including constrained global crude oil supplies, rising insurance costs for tankers, and a lower New Zealand dollar.

Global oil prices have exceeded US$100 a barrel, driven in part by geopolitical tensions in the Middle East and potential impacts from US political developments. In New Zealand, diesel prices have also seen significant increases, rising 8.6% in August alone.

Additionally, Statistics New Zealand reports that international airfares saw a 4.3% monthly increase in August, marking the largest annual increase since April 2023. While domestic airfares decreased in August, both international and domestic airfares have risen on an annual basis.