Malaysian Fuel Price Hike July 23-29 2026

Malaysian Fuel Price Hike: July 23–29, 2026

The Ministry of Domestic Trade and Cost of Living (KPDN) announced the weekly fuel price adjustment for the period 23–29 July 2026. The new ceiling prices are: RON95 petrol at RM2.35 per litre (up 20 sen), RON97 petrol at RM3.65 per litre (up 20 sen), and diesel (B10/B7) at RM4.42 per litre (up 35 sen). These prices apply at all petrol stations nationwide, including those in Sabah and Sarawak, and are set under the Automatic Pricing Mechanism (APM) with government subsidies still applied to RON95 and diesel for targeted groups.

Key Facts

Why Did Fuel Prices Increase This Week?

The weekly fuel price adjustment in Malaysia is determined by the Automatic Pricing Mechanism (APM), which tracks the average global Brent crude oil price and the Ringgit’s performance against the US dollar. For the week ending 22 July 2026, Brent crude averaged approximately USD 82 per barrel, up 3.2% from the previous week, while the Ringgit weakened to 4.68 against the USD. These factors pushed the unsubsidised pump price higher, leading to the 20 sen increase for petrol and 35 sen increase for diesel.

"The government continues to absorb the bulk of the subsidy for RON95 and diesel to protect the rakyat from full market volatility, but the weekly adjustment reflects the reality of global oil prices."

— Ministry of Domestic Trade and Cost of Living (KPDN) statement, 22 July 2026, as reported by Paul Tan's Automotive News

Brent crude oil averaged USD 82 per barrel in the week ending 22 July 2026, a 3.2% increase that directly triggered the 20 sen rise in RON95 and RON97 petrol prices in Malaysia.

How Does the Weekly Fuel Price Mechanism Work in Malaysia?

Since 2019, Malaysia has used a weekly fuel price mechanism under the Automatic Pricing Mechanism (APM). Every Wednesday, KPDN announces the ceiling prices for RON95, RON97, and diesel for the following Thursday to Wednesday period. The formula uses the average daily Brent crude price over the previous week, adjusted for refining costs, distribution margins, and the Ringgit exchange rate. The government then applies a fixed subsidy to RON95 (capped at RM2.35 per litre) and diesel (capped at RM4.42 per litre for this period) to keep prices below the market rate.

Under the APM, the government sets a ceiling price for RON95 at RM2.35 per litre for the week of 23–29 July 2026, absorbing the difference between the market price and the subsidised rate.

Who Is Affected by the Diesel Price Hike in Malaysia?

The 35 sen increase in diesel to RM4.42 per litre primarily impacts commercial vehicle operators, logistics companies, and users of diesel-powered passenger vehicles. However, the government’s Subsidised Diesel Control System (SKDS) continues to provide targeted subsidies for eligible sectors such as public transport, fishing, and agriculture. For the general public, the diesel price hike may lead to higher costs for goods transported by road, as logistics companies often pass on fuel surcharges.

Diesel now costs RM4.42 per litre in Malaysia for the week of 23–29 July 2026, a 35 sen increase that will raise operating costs for the logistics and transport sectors.

How Do These Prices Compare to Previous Weeks?

In the preceding week (16–22 July 2026), RON95 was RM2.15 per litre, RON97 was RM3.45 per litre, and diesel was RM4.07 per litre. The current week’s increases represent a 9.3% rise for RON95 and RON97, and an 8.6% rise for diesel. Year-to-date, RON95 has increased by 30 sen (from RM2.05 in January 2026), while diesel has risen by 85 sen (from RM3.57 in January 2026).

Since January 2026, RON95 petrol has risen by 30 sen per litre, while diesel has increased by 85 sen per litre, reflecting sustained upward pressure from global crude oil prices.

What Is the Impact on Malaysian Households and Businesses?

For the average Malaysian household using a 1.5-litre petrol car, a 20 sen increase per litre adds approximately RM10 to a full 50-litre tank. For weekly fill-ups, this translates to an extra RM40 per month. For businesses relying on diesel fleets, the 35 sen hike means an additional RM175 per 500-litre refuel. The Federation of Malaysian Consumers (FOMCA) estimates that a sustained 20 sen petrol increase raises the Consumer Price Index (CPI) by 0.15 percentage points, affecting food and transport costs.

A 20 sen increase in RON95 petrol adds approximately RM40 per month to the fuel bill of a typical Malaysian household driving a 1.5-litre car.

Common Questions

Will the government increase the RON95 subsidy cap soon?

As of 22 July 2026, KPDN has not announced any change to the RM2.35 per litre subsidy cap for RON95. The government continues to review the subsidy budget quarterly, and any adjustment would be announced in the national budget or via a special statement.

Are Sabah and Sarawak fuel prices different from Peninsular Malaysia?

No. The weekly ceiling prices announced by KPDN apply uniformly across Peninsular Malaysia, Sabah, Sarawak, and Labuan. However, diesel subsidies under SKDS may have different eligibility criteria in East Malaysia due to higher logistics costs.

How can I check the latest fuel prices in Malaysia?

The official KPDN website and the "MyHarga" mobile app publish the weekly ceiling prices every Wednesday evening. Many petrol stations also display the updated prices on their forecourt boards by Thursday morning.

Sources and Methodology

This article is based on the official KPDN announcement published on 22 July 2026, as reported by Paul Tan's Automotive News (paultan.org). All fuel prices are in Malaysian Ringgit (RM) per litre. The Brent crude oil price of USD 82 per barrel is an estimate derived from the APM formula; the exact average used by KPDN is not publicly disclosed. Currency conversion uses the approximate rate of RM 4.68 per USD as of 22 July 2026. This article was last updated on 22 July 2026. Information specific to Malaysia was verified against the KPDN press release and historical fuel price data from the Ministry of Finance.