Malaysia cuts non-subsidised fuel prices from August 13 to 19, 2026

The Malaysian government announced a reduction in retail prices for non-subsidised petroleum products effective from August 13 through August 19, 2026. Non-subsidised RON97 fuel will fall by 20 sen to RM4.15 per litre, unsubsidised RON95 will drop 15 sen to RM3.62 per litre, and unsubsidised diesel will decrease 10 sen to RM4.47 per litre ^{[1, 2, 3, 4, 5]}.

Subsidised fuel prices remain unchanged during this period. The Budi Madani RON95 (Budi95) price stays at RM1.99 per litre, and Budi Madani Diesel (Budi Diesel) is steady at RM2.10 per litre ^{[2, 3, 4, 5]}. The government provides a subsidy of RM1.63 per litre for eligible Budi95 users, which accounts for about 82% of the pump price, and a RM2.37 subsidy for Budi Diesel users, exceeding 100% of the pump price ^{[2, 3, 5]}. Prices under the Subsidised Petrol Control System (SKPS) and Subsidised Diesel Control System (SKDS) remain at RM2.05 and RM2.15 per litre respectively ^{[2, 3, 4, 5]}.

The price reductions followed a decline in global oil prices last week. Brent crude fell below US$80 per barrel at the start of the Automatic Pricing Mechanism (APM) period, marking a three-week low, which contributed to the lower retail prices ^{[2, 3, 5]}. However, geopolitical risks intensified near the end of the APM period amid worsening US-Iran negotiation prospects and concerns over the possible reopening of the Strait of Hormuz, a vital oil shipping route ^{[2, 3, 5]}.

The Ministry of Finance warned that these geopolitical uncertainties continue to pose risks of global oil supply disruptions, potentially causing significant petroleum price fluctuations soon. They stated, "Uncertainty regarding the reopening of the Strait of Hormuz continues to pose risks of global oil supply disruptions, thereby placing pressure on petroleum prices. Consequently, petroleum product prices are expected to continue experiencing significant fluctuations in the near future" ^[3].

The new retail prices for non-subsidised fuels take effect starting August 13 and will last through August 19, 2026 ^{[1, 2, 3, 4, 5]}.