Pakistan raises petrol and diesel prices amid Gulf tensions

On July 25, 2026 Pakistan's federal government lifted the retail price of petrol to Rs335.18 per litre and high‑speed diesel (HSD) to Rs383.46 per litre, a fifth consecutive increase. The revision was attributed to volatile global oil markets caused by renewed hostilities between the United States and Iran in the Persian Gulf.

The Petroleum Division announced that the new rates would apply for July 25 only, while a later notice kept the same prices in effect for July 26‑27, leaving petrol at Rs335.18/L, diesel at Rs383.46/L and kerosene at Rs301.14/L. The daily‑pricing mechanism, introduced in late July, has faced opposition from dealers, who announced a nationwide strike that was subsequently called off after the petroleum minister pledged a review of dealer margins.

A breakdown of taxes and margins shows consumers paying Rs108.67 per litre in taxes and margins on petrol and Rs96.86 per litre on diesel, reflecting petroleum levies, climate levies, freight charges and margins for oil‑marketing companies and dealers.