China to raise fuel prices as Strait of Hormuz tensions lift global oil costs

China's top economic planner announced Thursday it will raise domestic retail fuel price caps from Saturday, July 18, as renewed US-Iran hostilities over the Strait of Hormuz continue to push global crude prices higher. The move comes as Morocco, Pakistan, and Ghana have all raised or signaled increases in pump prices within the same week, underscoring the worldwide ripple effects of the ongoing conflict.

China Adjusts Price Caps

The National Development and Reform Commission (NDRC) said caps for domestic retail petrol and diesel prices will rise by 300 yuan ($44.28) per metric ton and 290 yuan per metric ton, respectively, effective July 18, citing upward swings in global crude oil prices. The adjustment follows a sharp cut on July 4, when the NDRC reduced caps by 950 yuan and 915 yuan per metric ton for gasoline and diesel during a brief period of market stabilization, according to Reuters ↗ 2.92%.dawn+2

Morocco, Pakistan, and Ghana Follow Suit

In Morocco, distributors raised diesel prices by MAD 0.70 per litre and gasoline by MAD 0.38 per litre starting Thursday, July 16, under the country's biweekly pricing mechanism, according to the National Federation of Service Station Owners. Diesel now costs approximately 13.30 dirhams per litre, while gasoline is around 14.24 dirhams.bladi+2

In Pakistan, consumers face yet another shock: high-speed diesel prices may jump by up to Rs40 per litre and petrol by Rs10 per litre in the fortnightly review expected Friday night, July 18, according to Pakistan Today. This would follow an increase just a week earlier on July 11, when petrol rose Rs13.18 per litre to Rs310.71 and diesel rose Rs13.80 to Rs323.30.dawn+2

Ghana's National Petroleum Authority raised price floors effective July 16, with petrol moving from GH¢12.79 to GH¢13.28 per litre and diesel from GH¢13.54 to GH¢14.35 per litre. The Chamber of Oil Marketing Companies projected petrol increases of up to 5.3% and diesel of 7.5%.ghanaweb+2

Strait of Hormuz Tensions Drive Prices

The fuel price increases across multiple continents trace back to the same source: oil prices jumped after the latest exchange of hostilities between the United States and Iran over the Strait of Hormuz, as reported by Al Jazeera on July 13. The waterway, which carried roughly 25% of the world's seaborne oil trade before the conflict began in March 2026, remains partially disrupted. Pakistan Today cited the US-Iran tensions specifically as the driver of increased pressure on domestic fuel prices.profit.pakistantoday+4