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Cambodia Fuel Prices Drop After Iran Opens Strait of Hormuz

Retail fuel prices in Cambodia have decreased following Iran's announcement of opening the Strait of Hormuz to commercial vessels. The Cambodian government has been subsidizing fuel imports to mitigate costs for consumers. Iran's decision comes amid a ceasefire in Lebanon and eases a major global oil transit chokepoint. The move has been acknowledged by US leadership, marking a shift from recent tensions over the strategic waterway.

Key Points: Cambodia Fuel Prices Fall After Hormuz Strait Opening

  • Fuel prices fall in Cambodia
  • Iran opens key oil transit route
  • Cambodia subsidizes fuel imports
  • Global oil supply tensions ease
2 min read

Oil prices in Cambodia plunge further after Iran announces opening Hormuz

Cambodia cuts retail gasoline and diesel prices after Iran declares the Strait of Hormuz open, easing global oil supply concerns.

"the passage for all commercial vessels through the Strait of Hormuz is declared 'completely open' - Seyed Abbas Araghchi"

Phnom Penh, April 18

Retail fuel prices in Cambodia have dropped further after Iran declared the opening of the Strait of Hormuz, the Ministry of Commerce said.

In an announcement late on Friday (local time), the ministry said a litre of regular gasoline is now priced at 4,950 riels (1.24 US dollars) from this Saturday until the next notice, down 2.9 per cent from 5,100 riels (1.28 dollars) in the last three days.

Diesel now costs 5,700 riels (1.42 dollars) per litre, down 10.9 per cent, the announcement added.

Cambodian Prime Minister Hun Manet said last Saturday that the General Department of Customs and Excise (GDCE) has subsidised approximately 50 million dollars a month to minimise the impact of rising fuel prices.

The subsidies have been made through the reduction of import duties and taxes on oil and gas, and the reduction of import duties on electric vehicles, passenger plug-in hybrid electric vehicles, electric stoves, and solar-powered devices.

The Southeast Asian country entirely relies on imported petroleum and diesel.

Earlier on Friday, Iran's Foreign Minister Seyed Abbas Araghchi said that, in line with the truce in Lebanon, the passage for all commercial vessels through the Strait of Hormuz is declared "completely open" for the remaining period of the ceasefire between Tehran and Washington.

He made the remarks in a post on social media platform X hours after a 10-day ceasefire between Israel and Lebanon took effect following more than a month of deadly escalation between Israel and Hezbollah, which has claimed over 2,000 lives.

Araghchi stressed that vessels can cross the Strait via the previously announced coordinated route announced by Iran's Ports and Maritime Organization.

In reaction to the announcement, US President Donald Trump thanked Iran for the announcement of a full reopening of the Strait of Hormuz.

Iran tightened control over the Strait of Hormuz by denying safe passage to vessels belonging to or affiliated with Israel and the United States after they launched joint attacks on the country on February 28.

The United States has also imposed a blockade on the Strait, preventing ships travelling to and from Iranian ports from transiting the waterway, following the failure of peace talks between the Iranian and US delegations in Pakistan's capital, Islamabad, on Saturday and early Sunday.

- IANS

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Reader Comments

P
Priyanka N
The Cambodian government subsidising $50 million a month is a huge amount for their economy. It's a good move to protect their citizens. I wish our government could also find a more permanent solution for fuel prices instead of just adjusting excise duties every few months.
A
Aman W
The focus on reducing duties for electric vehicles and solar devices is smart policy by Cambodia. We should learn from this. India is also heavily reliant on imported oil. We need to accelerate our transition to renewables and EVs for true energy security. Jai Hind!
S
Sarah B
While the price drop is good news, the article highlights how fragile the situation is. A single strait's closure can disrupt global trade. It's a reminder that stable international relations are crucial for basic commodity prices that affect everyone, from Phnom Penh to Pune.
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Vikram M
The US-Iran tensions have a ripple effect across the world. India has to navigate this carefully to protect its energy imports. Good to see some de-escalation with the Strait reopening. Hopefully, it leads to more stability in the region. Our petrol prices are already too high!
K
Kiran H
Respectfully, the article seems to oversimplify the cause. Fuel prices depend on many factors - global crude price, currency exchange, taxes. While the Hormuz opening helps, Cambodia's subsidy and duty cuts played a bigger role in this specific price drop for their citizens.

We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.

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