High fuel prices: Why have gasoline prices exploded so much only in Germany?

Fuel prices in this country have risen twice as much as the EU average. Why that is, whether illegal deals play a role, why a fuel discount is of little use.

March 10, 2026, 2:06 p.m

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Article summary

Rising fuel prices are causing discontent, but is this really a case of market failure? The price of crude oil is rising due to the conflict between Israel and Iran, but how much is this being passed on to consumers? In Germany, prices have risen above average, which raises questions about fair price transmission. The market structures in the fuel sector are opaque, characterized by a few large corporations with diverse interests. In terms of competition policy, the question arises as to whether prices react appropriately to changes in raw material prices and whether illegal agreements occur. The Federal Cartel Office is monitoring the situation, but there are no quick solutions in sight. Fuel discounts and excess profits taxes are controversial, while the Austrian model of daily price caps is seen as more sensible. In the long term, structural changes in the market are necessary to protect consumers in the long term.

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The fact that fuel prices in Germany have risen unusually is also due to the industry. Here is a refinery in Schwedt.
© Hannes Jung/laif

Tomaso Duso believes that competition watchdogs now have to take a closer look at the rising prices at gas stations. Here the head of the Monopolies Commission explains how politicians could better regulate the market

The war between Israel and Iran is causing raw material prices to rise, and fuel at gas stations in Germany is promptly becoming more expensive. This upsets many people, but it is not necessarily a case of market failure. What is crucial is: How strongly is the price shock passed on to consumers?

Restrictions on shipping through the Strait of Hormuz have now driven crude oil prices to over $90 a barrel. How German fuel prices reacted to this can only be seen next Thursday – then the European Commission will publish its weekly data on petrol, diesel and heating oil in the individual EU countries.