Iran Raises Fuel Prices to Curb Overuse and Smuggling

International Desk

Published: 14 December 2025, 11:37 am

Picture: Collected

Iran has increased the price of subsidized petrol for most consumers to control excessive use and curb smuggling. The new rates took effect on Saturday, December 13, according to a government spokesperson.

As an OPEC member, Iran is attempting to manage growing fuel demand without sparking public unrest. Historically, petrol has been extremely cheap in Iran, and previous attempts to raise prices have been avoided due to fears of mass protests, such as those seen in 2019.

According to government spokesperson Fatemeh Mohajerani, vehicles (except ambulances) requiring more than 160 liters of fuel per month must now pay 50,000 rials per liter (approximately 4 US cents at market rates).

Other drivers will still be able to buy up to 60 liters at 15,000 rials per liter, and an additional 100 liters at 30,000 rials per liter. Taxi quotas remain unchanged.

The price hike is primarily aimed at reducing unnecessary fuel consumption and preventing smuggling, as per Iranian state television reports.