Fuel prices in Singapore have continued their downward trend into July. On Sunday evening (5 July), Shell announced a reduction of S$0.10 per litre for diesel at its pumps, bringing the price to S$3.95 per litre – making it the first major retailer to bring diesel back below the S$4 mark.

Shell’s price cut came just over three months after it had raised diesel prices above S$4 on 28 March. Following Shell’s lead, Caltex matched the 10-cent reduction on Monday, and Esso followed with an identical cut. Sinopec took a more aggressive approach, lowering its diesel price by 15 cents.

After the latest round of adjustments, the diesel prices at major retailers are as follows: Shell, Caltex and Esso at S$3.95 per litre, and Sinopec at S$3.89 per litre. Data from the Singapore Consumer Association’s “Price Kaki” app shows that diesel prices now vary widely across the island, ranging from Smart Energy’s S$2.58 per litre to SPC’s S$4.05 per litre. All prices are before discounts.

Notably, petrol prices at all retailers remained unchanged during this adjustment. This follows a similar pattern from 2–3 July, when Shell led a price adjustment and Caltex and Sinopec subsequently followed suit.

On the international crude market, Brent crude futures edged down 0.42% on Monday to US$71.82 per barrel (as of 3:26 pm Singapore time). This level is close to where prices stood before the US and Israel launched strikes against Iran in late February, and well below the highs of nearly US$120 per barrel reached in March. Market analysts note that recent fuel price declines reflect changes in wholesale costs. With the US observing its 250th Independence Day long weekend and Iran holding funerals for its late Supreme Leader Khamenei, both sides have refrained from major action, keeping the crude market relatively calm.

Industry observers expect that if international oil prices remain at current levels, there is room for further reductions in Singapore’s local fuel prices.