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With The War, ‘Oil Up, Oil Down’… And The Gasoline Price in Brazil, What Happens?

Written by Roberta Souza
Published on 24/06/2025 at 16:37
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Foto: Reprodução
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Understand The Drop Of More Than 7% In Crude Oil Prices And The Impact On Gas Prices!

On this Monday (23), the oil market experienced another day of tension and surprise. After a geopolitical turnaround in the Middle East, the price of oil plummeted more than 7%, leaving investors and consumers on alert. But the big question that remains is: “What about gas? Will it drop too?”

Tension Between Iran And The USA Drops Oil Prices

The reason behind this significant drop has a name: Iran’s retaliation against the United States. In response to the American attack that occurred on Saturday (21), Iran launched missiles at the Al Udeid airbase in Qatar. The offensive, dubbed “Announcement of Victory”, generated initial panic and speculation about the possible closure of the strategic Strait of Hormuz, through which about 30% of the world’s oil production passes.

Source: O Tempo

By around 4 PM (Brasilia time), Brent fell 6.67% to US$ 70.52 a barrel, while WTI dropped 7.41%, trading at US$ 68.37. A sharp decline that few predicted at the start of the day.

Ceasefire And A Snowball Effect On Brazilian Oil Refineries

Despite the military escalation, the announcement of a possible ceasefire by the USA brought immediate relief to the markets. As a result, the gap between international prices and the prices practiced by Petrobras has significantly decreased.

According to Abicom (Brazilian Association of Fuel Importers), the price difference for diesel at Brazilian refineries fell from 19% to 12% in relation to the Gulf of Mexico. Gasoline is now only 3% below international prices, which reduces the pressure for adjustments.

And What About The Brazilian Consumer? Cheaper Gasoline?

For now, consumers feel little to no change at the pump. However, according to experts, if the downward trend in oil prices continues, fuel prices may drop in the coming weeks, as indicated by the president of Petrobras.

The international drop may be a relief for Brazilian wallets, but everything will depend on geopolitical developments and the pricing strategy of the state-owned company. And you, what do you think will happen to fuel prices?

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Roberta Souza

Author for the Click Petróleo e Gás portal since 2019, responsible for publishing over 8,000 articles that have garnered millions of views, combining technical expertise, clarity, and engagement to inform and connect readers. A Petroleum Engineer with a postgraduate degree in Industrial Unit Commissioning, I also bring practical experience and background in the agribusiness sector, which broadens my perspective and versatility in producing specialized content. I develop content topics, disseminate job opportunities, and create advertising materials tailored for the industry audience. For content suggestions, job vacancy promotion, or advertising proposals, please contact via email: santizatagpc@gmail.com. We do not accept resumes

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