Fuel Tax Reduction Extended Through End of November…100 Won Per Liter Price Cut on Expressways During Chuseok Holiday

Deputy Prime Minister and Minister of Finance and Economy Koo Yun-cheol stated on the 18th at a meeting of the Emergency Economic Countermeasures Headquarters and economic ministers at the Government Sejong Building, "Despite difficult external conditions such as the Middle East conflict, our economy is demonstrating solid fundamentals." He explained, "Exports are increasing significantly, domestic consumption and other internal demand are showing signs of improvement, and global credit rating agencies Moody's and Fitch are evaluating our economy's steady growth positively."

Deputy Prime Minister Koo continued, "However, international oil prices have risen sharply in recent times, and uncertainty surrounding the Middle East situation is expanding again." He emphasized, "The government will maintain heightened vigilance, sustain emergency response systems, and dedicate all efforts to stable management of energy supply and prices."

Deputy Prime Minister Koo further stated, "Through active diplomatic efforts, diversification of import sources, and strategic petroleum reserves swaps, we expect there will be no major disruptions to energy supply in the near term. However, we will operate a situation room with the petroleum refining industry to monitor crude oil supply conditions on a daily basis and take necessary measures swiftly."

The meeting discussed 'Review of Response Measures Related to Middle East Conflict,' '10th Petroleum Price Ceiling Plan,' 'Fuel Tax Operation Plan After October,' and 'Plans for Fuel Price Discounts and Electric Vehicle Charging Discounts at Expressway Service Stations During Chuseok Holiday.'

The government, comprehensively reviewing the recent international oil price situation and public burden, will extend the fuel tax reduction measure, originally scheduled to end this month, by an additional two months through the end of November. Gasoline will continue with a 15% reduction, and in particular, diesel, which is essential for industry and logistics, and butane, used as fuel for common people through small trucks, will maintain the current higher reduction rate of 25%.

Additionally, during the Chuseok holiday period (September 24-27), fuel prices at all expressway service stations will be reduced by 100 won per liter compared to the 17th, sharing the burden of high fuel prices with the public, while responding to public expectations regarding service innovation at expressway rest areas.

To ensure that benefits from renewable energy expansion are returned to the people, the government plans to discount electric vehicle charging rates during daytime hours when renewable energy supply such as solar power is abundant during the Chuseok period. Going forward, the government plans to carefully review all aspects of people's livelihoods including prices and implement livelihood stabilization measures that the public can feel.