Belgium Fuel Prices Surge as Diesel Tops €2 Per Liter Again

Belgian motorists are facing higher costs at the pump once again, with the maximum price of diesel rising above €2 per liter for the first time since mid-June. The Federal Public Service Economy (FOD Economie) announced on Thursday that new maximum prices will take effect on Friday, July 10, 2026, driven by renewed geopolitical tensions in the Middle East.

New Maximum Prices

According to VRT NWS, the maximum price for diesel (B7) will rise to €2.102 per liter — an increase of 13.5 cents. This marks the highest diesel price since late May 2026. Gasoline prices are also climbing: benzine 95 (E10) will cost a maximum of €1.909 per liter (up 5.9 cents), while benzine 98 (E5) reaches €2.044 per liter (up 8 cents). The new tariffs are published under Tariff No. 2026/131.

Geopolitical Drivers

The price increases are directly linked to ongoing instability in the Middle East. The US-Israeli military conflict with Iran, which began in late February 2026, has severely disrupted global oil supply chains through Iran’s blockade of the Strait of Hormuz — a narrow waterway through which approximately 20–30% of the world’s oil passes.

“Door de spanningen in het Midden-Oosten liggen de brandstofprijzen al lang op een hoog niveau,” VRT NWS reported. “Begin april was er een piek, nadien volgde wel een daling. De recente aanvallen van de VS en Iran duwen de prijzen nu opnieuw omhoog.” (“Due to the tensions in the Middle East, fuel prices have been at a high level for a long time. There was a peak in early April, followed by a decline. The recent attacks by the US and Iran are now pushing prices up again.”)

Brent crude oil, which peaked above $125 per barrel in late April 2026, has since fallen back to around $70 per barrel — near pre-blockade levels — as diplomatic efforts have progressed and the Strait has partially reopened. However, European natural gas prices (Dutch TTF) remain elevated at over €40 per megawatt-hour, compared to approximately €30 in February 2026.

OPEC+ Response

In an effort to stabilize markets, seven OPEC+ members — Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria, and Oman — announced on July 5 a further production increase of 188,000 barrels per day for August 2026, as NU.nl reported. This follows similar increases in June and July, bringing the total quota increase since the conflict began to 940,000 barrels per day. Saudi Arabia and Russia account for the largest individual increases at 62,000 bpd each.

Inflationary Pressure on Households

The fuel price hike adds to the cost-of-living burden on Belgian households and businesses already grappling with elevated inflation. Belgian inflation surged to 4.01% in April 2026, up sharply from 1.65% in March, driven almost entirely by energy costs. Eurozone inflation reached 3% in the same month, with energy prices 10.9% higher year-on-year.

The Federal Planning Bureau projects average inflation of 3.2% for 2026, with the “spilindex” (pivot index) expected to be exceeded twice — in July and December — triggering automatic wage and benefit indexation. The bureau forecasts a peak of 4.43% inflation in January 2027 before a gradual decline.

Government Support Measures

In response to the crisis, the Belgian federal government approved an €80 million energy support package in April 2026, primarily aimed at increasing the kilometer allowance for commuting workers. The measures, running from May through July 2026, include a temporary tax incentive for employers to raise commuting allowances, €15 million for social heating oil and gas funds, and a postponement of planned tax increases on natural gas and heating oil.

However, the package has drawn criticism from opposition parties and trade unions. PVDA party chairman Raoul Hedebouw compared the €80 million package unfavorably to the €950 million allocated by the Netherlands and the €5 billion by Spain. Gert Truyens, chairman of the ACLVB liberal trade union, called the measures “a temporary bandage on a structural problem.”

Broader Implications

The sustained high fuel prices are reshaping consumer behavior in Belgium. The VRT liveblog notes that households are increasingly seeking fixed energy contracts for electricity and gas, with 32% of households opting for fixed electricity contracts in April, up from 28% in March. Interest in heat pumps has surged 40%, according to Climafed, the Belgian federation for climate technologies.

For businesses, the impact is particularly acute in the transport and logistics sectors, where diesel costs represent a significant operating expense. The aviation sector is also feeling the pressure, with Brussels Airlines reporting a 14% increase in fuel costs in the first quarter of 2026.

What to Watch For

Looking ahead, several factors will determine whether fuel prices continue to rise or begin to ease. The success of US-Iran peace negotiations in fully reopening the Strait of Hormuz remains the most critical variable. The OPEC+ production increases, while helpful, may take time to translate into lower prices at the pump. Meanwhile, the Belgian government’s energy support package is set to expire at the end of July, raising questions about whether it will be extended or expanded.

With the spilindex expected to be triggered in the coming days and again in December, Belgian households can expect some relief through automatic wage indexation — though this mechanism also risks creating a wage-price spiral that could keep inflation elevated into 2027.