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Petrobras Announces Possible Drop in Gasoline, Diesel, and Jet Fuel Prices Amid Falling Oil and Strengthened Real

Written by Caio Aviz
Published on 27/05/2025 at 18:34
Magda Chambriard em frente às bandeiras do Brasil e de estado
Magda Chambriard em postura institucional diante das bandeiras nacional e estadual, reforçando sua posição de destaque na Petrobras.
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Historic Reduction May Happen in the Coming Days, With Direct Impact on Consumer Wallets and Relief at Fuel Stations

The President of Petrobras, Magda Chambriard, indicated on May 26, 2025, that the state-owned company may reduce fuel prices, including gasoline, diesel, and aviation kerosene (QAV), if oil prices continue to decline and the real maintains its appreciation. The statement was made during the New Industry Brazil event, held at BNDES in Rio de Janeiro.

Constant Monitoring of International Prices

Petrobras conducts a biweekly monitoring of oil prices and exchange rates to assess possible adjustments in fuel prices. According to Magda Chambriard, both gasoline and diesel are currently below international parity. She stated: “If oil falls further, we will reduce. And it’s not just gasoline and diesel; it’s also aviation kerosene, bunker, LPG”.

Petrobras Logo / Image: Google Images.

Downward Trend in Aviation Kerosene

Aviation kerosene (QAV), which undergoes monthly adjustments on the 1st, shows a trend of reduction in the next adjustment, as acknowledged by Magda Chambriard. She highlighted that, with the drop in Brent prices and the appreciation of the real, there is room for a new reduction.

Previous Reductions and Current Scenario

Since December 2022, prices at refineries have been about 36% lower for QAV, 26% lower for diesel, and between 11% and 12% lower for gasoline. In May 2025, Petrobras reduced the price of diesel by R$0.16 per liter, marking the third decrease of the year. Gasoline prices, however, have not changed since July of last year.

Impact of the Real Appreciation and Oil Price Decline

The appreciation of the real against the dollar and the decline in Brent oil prices, which are hovering around US$65 after starting the year above US$80, contribute to a favorable scenario for reducing fuel prices. The combination of these factors exerts downward pressure on oil prices, which may pave the way for price reductions to be passed on to the final consumer.

Gas station attendant refuels a car at a station with gasoline and diesel pumps in the background, illustrating the impact of falling fuel prices / Image: AI-generated.

Commitment to Price Stability

The President of Petrobras emphasized that the company’s policy aims, above all, to reduce price volatility in the domestic market. Additionally, this policy continuously maintains biweekly monitoring of key indicators, which significantly contributes to more stable and predictable decisions. While she stated that the company is “comfortable” with current prices, she highlighted that the scenario is under constant evaluation. With the ongoing decline in oil prices and, furthermore, with the appreciation of the real, there is an expectation of further reductions in fuel prices. Therefore, Brazilian consumers should prepare for possible price drops in the coming months.

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Caio Aviz

I write about the offshore market, oil and gas, job opportunities, renewable energy, mining, economy, innovation and interesting facts, technology, geopolitics, government, among other topics. Always seeking daily updates and relevant subjects, I provide rich, substantial, and meaningful content. For content suggestions and feedback, please contact me at: avizzcaio12@gmail.com.

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