Motorists hoping for instant relief at the bowser may need to temper expectations, despite the reopening of the Strait of Hormuz — one of the world’s most critical oil transit routes.
Global oil markets reacted quickly when the strait was closed, sending prices soaring amid fears of supply disruptions. But now that it has reopened, the drop in fuel prices at the pump won’t be immediate.
Industry experts say it could take one to three weeks before drivers see any meaningful price relief.
The delay comes down to a simple reality: much of the fuel currently being sold across Australia was purchased at higher prices during the peak of the crisis. Retailers are still working through that stock, meaning consumers continue to pay elevated rates even as global conditions begin to stabilise.
There’s also the issue of pricing cycles — particularly in cities like Sydney — where petrol prices naturally rise sharply and then fall gradually over time. Even if wholesale costs begin to ease, those savings take time to filter through.
Market confidence is another factor. Traders remain cautious, watching closely to see whether the reopening of the Strait of Hormuz holds or if tensions flare again. Any renewed instability could quickly push oil prices back up.
The harsh truth: Prices shot up overnight — but getting them back down will be a slow grind for your wallet.
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