In order not to lose competition with ethanol, Petrobras reduces the price of gasoline; on the other hand, diesel becomes more expensive in an attempt to balance the rise in Brent oil, which maintains firm prices above 90 dollars.
Petrobras surprised the market by announcing an reducing 4% on the prices of gasoline sold in its refineries, in a strategic move to recover space lost to its ethanol competitor. This decision was taken keeping in mind the high utilization factor of Petrobras' refineries, indicating an effort to expand its penetration in the domestic fuel market.
In return, the oil company increased the diesel price at R$0,25 per liter its average selling price of diesel A to distributors, which will be R$4,05 per liter. Considering the mandatory mixture of 88% diesel A and 12% biodiesel for the composition of the diesel sold at gas stations, Petrobras' share of the consumer price will be, on average, R$ 3,56 for each liter sold at the pump.
Brent oil maintains firm prices above 90 dollars a barrel
The international oil market Brent maintains firm prices above 90 dollars per barrel, which, at first glance, may seem contradictory to the reduction in the price of gasoline. However, this action appears to be motivated by supply and demand conditions in the domestic market and the growing competition from hydrous ethanol in Brazil, which has caused a decline in gasoline consumption.
- Fines will be issued freely! Highways in the interior of SP receive new radars; See the locations
- Important Brazilian highway (BR) will receive COMPLETE duplication and works already have a delivery date
- Credit Card with easy approval in 2025
- The WORLD'S largest oil exporter lands in Brazil with R$8 BILLION with a focus on dominating the Brazilian mining sector
The average decrease of 12 cents per liter announced by Petrobras, although it was greater than the monitored lag, suggests a strategy to align gasoline prices with the international market and, at the same time, combat the loss of “market-share” for the hydrous ethanol.
In September, the plants in the center-south increased sales of hydrated ethanol by 18,45% compared to the previous year, while the sale of anhydrous alcohol, which is mixed with gasoline, had a significant drop. Data from the National Petroleum Agency (ANP) points to the continued loss of the fossil fuel market in favor of more sustainable alternatives.
In return, Petrobras increased the price of diesel by 6,58%
While Petrobras seeks to balance its position in the gasoline market against ethanol, the company also announced a 6,58% increase in the average selling price of diesel to distributors. This movement may be a response to international market demand and domestic needs, reflecting the complexity of the company's decisions in the current scenario.
A Petrobras is facing significant challenges in relation to competition and changes in the fuel market. With the Brazilian consumer's growing preference for ethanol and fluctuations in oil prices in the global market, the company is adopting a strategy that combines reducing gasoline prices to gain competitiveness in the domestic market, while increasing the price of diesel to align with international demands.
Strategy to win over the consumer
Petrobras, by making these decisions, demonstrates a commitment to innovation and sustainability, which are essential elements in the modern fuel market. A company faces competition from ethanol, a more ecological alternative, and adjusts its prices to remain competitive. The future of the fuel market will be shaped by these strategies and consumer response to changes in the pricing landscape.
The search for consumer preference promises to continue to shape the fuel landscape in the Brazil In the next years.