Nearly €1 per litre apart: Europe splits on diesel prices as East acts and West waits

As oil volatility ripples through Europe, a clear divide is emerging in how governments are responding to the latest fuel-price shock. In the east and south-east of the continent, intervention has already begun: Hungary has introduced a protected fuel price for domestic vehicles, Croatia and Slovenia have capped retail prices, and Serbia has suspended fuel and crude exports to protect its home market.

In western Europe, by contrast, governments are mostly still monitoring, debating or tightening oversight rather than moving directly on pump prices.

Eastern and south-eastern Europe moves first

Hungary announced the region’s most targeted move on 9 March. Prime Minister Viktor Orbán said a protected retail price would apply from midnight, fixing petrol at 595 forints per litre (€1.50/litre) and diesel at 615 forints per litre (€1.55 per litre). The measure applies only to vehicles with Hungarian registration and documents, but the government said it would extend beyond private motorists to include farmers, hauliers and businesses, while also releasing state reserves to support supply.

Croatia chose a broader retail cap. The government said that from 10 to 23 March it would limit Eurosuper 95 to €1.50 per litre and diesel to €1.55 per litre. The official regulation sets maximum retail prices at filling stations and does not distinguish between domestic and foreign vehicles or between passenger cars and trucks.

Slovenia has taken a similar route, but with an excise-duty cut built into the response. The government said on 9 March that from 10 to 23 March the highest permitted retail price would be €1.466 per litre for petrol and €1.528 per litre for diesel. Official government material states that the mechanism applies to all filling stations, again without any nationality- or vehicle-type restrictions in the published rules.

Serbia has moved differently, but still decisively. Belgrade suspended exports of diesel, gasoline and crude oil until 19 March, saying the aim was to shield the domestic market from shortages and price spikes as crude surged above $119 a barrel.

Western governments stay in watch-and-wait mode

The pattern is less uniform further west. Austria is clearly under pressure to act, but has not yet adopted a concrete fuel-price measure. On 10 March, ORF reported that Chancellor Christian Stocker backed a temporary fuel-tax cut, while Economy Minister Wolfgang Hattmannsdorfer warned against moving too quickly and said measures should be considered only if high prices persist. Vienna is openly discussing intervention, but has not yet crossed the line from debate to decision.

Germany is also stopping short of a direct pump-price measure. The political focus there has shifted toward alleged profiteering and market transparency rather than a fresh tank rebate. On 10 March, Finance Minister Lars Klingbeil described the fuel-price surge as unjustified and called for fast action, including tougher transparency obligations for oil companies and possible limits on how often prices can be raised each day. 

France has taken the same broad line. Reporting on 10 March said the government was ruling out a new fuel-price shield for now because of limited budget room, even as pump prices rose sharply. Instead, Paris has opted for tighter checks on service stations and discussions with distributors, while also remaining involved in wider G7 discussions on strategic oil reserves.

Spain, meanwhile, has not introduced a new measure either, but it has left the door open. On 9 March, Economy Minister Carlos Cuerpo said the government could activate aid if fuel prices continued rising, after noting that gasoline had risen by around 15 cents per litre and diesel by nearly 28 cents since the war began.