Current Gasoline Prices and Market Trends
For the thirteenth consecutive week, Mexico’s federal government has left gasoline and diesel without fiscal stimulus. The regular gasoline, or Magna, maintained a stable price at an average of 23.42 pesos per liter nationwide, according to PETROIntelligence data.
Meanwhile, the U.S. oil benchmark West Texas Intermediate (WTI) increased by 1.5% to reach 66.50 dollars per barrel during the week, driven by expectations of the OPEC+ meeting on July 2. The group agreed to raise oil production by 548,000 barrels per day in August.
Full IEPS Quotas Without Fiscal Stimulus
As fiscal stimulus remains absent, motorists will continue to pay the full Impuesto Especial sobre Producción y Servicios (IEPS) quotas until July 11. The full IEPS for regular gasoline (Magna) is 6.45 pesos per liter, premium gasoline (roja) is 5.45 pesos, and diesel is 7.09 pesos per liter.
Every Friday, the Secretaría de Hacienda y Crédito Público (SHCP) announces the fiscal stimulus amount for gasoline and diesel in the upcoming week through the Diario Oficial de la Federación. Typically, the government adjusts fiscal stimulus based on oil prices; higher crude prices lead to more fiscal support, while decreasing prices result in reduced stimulus.
Impact on Mexican Consumers
The absence of fiscal stimulus directly affects Mexican consumers, as they face the full IEPS quotas for gasoline and diesel. This situation has been ongoing for 13 weeks, causing concern among motorists about the stability of fuel prices.
Mexico’s reliance on imported oil makes it vulnerable to global market fluctuations. The recent OPEC+ decision to boost production could potentially lower international oil prices, impacting Mexico’s domestic fuel costs.
Key Questions and Answers
- What is the current price of regular gasoline (Magna) in Mexico? As of July 6, the average price is 23.42 pesos per liter.
- Why has the Mexican government not provided fiscal stimulus for gasoline and diesel for 13 weeks? The decision is based on oil price trends; with crude prices rising, the government opted not to increase fiscal support.
- What are the full IEPS quotas for gasoline and diesel in Mexico? Regular gasoline (Magna): 6.45 pesos/liter; Premium gasoline (roja): 5.45 pesos/liter; Diesel: 7.09 pesos/liter.
- How does the OPEC+ agreement to increase oil production affect Mexico? The potential rise in production could lead to lower international oil prices, which may eventually result in reduced fuel costs for Mexican consumers.
