Türkiye eliminates diesel Special Consumption Tax temporarily

A presidential decree in Türkiye has temporarily eliminated the Special Consumption Tax (ÖTV) on diesel fuel for the remainder of August. This move created a potential price reduction of approximately 9.30 TL per unit. However, the tax is scheduled to be reintroduced in monthly increments: 3 TL in September, 6 TL in October, 9 TL in November, and 12 TL in December, eventually returning to the pre-adjustment level of 13.90 TL on January 1, 2027.

Due to this restructuring, the 'Eşel Mobil' price stabilization system has been removed for diesel, though it remains in place for gasoline and LPG. Experts suggest that anticipated increases in international fuel prices may offset the savings gained from the tax reduction.

Bendevi Palandöken, President of the Confederation of Turkish Tradesmen and Craftsmen (TESK), commented on the changes, noting that while the temporary tax exemption is positive, the scheduled monthly increases could contribute to inflation. He advocated for the reinstatement of the Eşel Mobil system to ensure fair subsidies and called for stricter oversight of service costs, such as vehicle inspection fees and repair VAT, to alleviate the financial burden on tradespeople and consumers.