Fuel Prices in Cambodia Ease as Government Extends Subsidies

PHNOM PENH, May 27, 2026 (KPT) — Retail fuel prices in Cambodia fell slightly this week as the government extended subsidies and tax cuts to shield households and businesses from volatile global oil markets.

A joint statement from the ministries of Economy and Finance, Commerce and Mines and Energy said regular gasoline dropped 150 riel to 5,250 riel ($1.30) per litre, while diesel fell by the same margin to 5,300 riel ($1.31). The new rates took effect May 27.

Officials said the adjustment reflects regional and international market trends and accords with agreements reached with fuel companies. Subsidies equivalent to 6.5 U.S. cents per litre, plus an additional one‑cent reduction, remain in place as global prices stay elevated.

Import tariffs on fuel remain at zero, while special taxes have been halved for gasoline and eliminated for diesel. VAT has been cut to 4 percent for gasoline and scrapped entirely for diesel, with the state absorbing the remaining tax burden.

Mines and Energy Minister Keo Rottanak said Cambodia is forfeiting $55–70 million in monthly revenue through tax and duty reductions to stabilise domestic prices and cushion consumers from global energy shocks.