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Diesel prices are barely lower than super ignition costs

Diesel's appeal stems from potential cost savings at fuel stations. However, if the cost difference between diesel and gasoline continues to widen, consumers may reconsider their choices.

Diesel prices remain comparably high relative to super ignition fuel costs.
Diesel prices remain comparably high relative to super ignition fuel costs.

Diesel prices are barely lower than super ignition costs

Diesel Prices in Germany: A Changing Landscape

In recent years, the difference in prices between diesel and gasoline has been shrinking in Germany, with diesel prices now only slightly lower than those of Super E10 gasoline. This trend, which was first observed in 2023 and continued through 2024, represents a significant departure from the historical average of 10-20 euro cents per liter in favour of diesel.

According to data from the ADAC, the average price of Super E10 gasoline in Germany is around 1.66 to 1.68 euros per liter, while diesel prices are approximately 1.68 euros per liter or slightly less. This narrowing gap is due in part to the fact that Germany imports much more diesel than it does gasoline, making diesel more crisis-prone and subject to price fluctuations.

Historically, the price difference between diesel and E10 gasoline varied, sometimes widening during periods of tax changes or supply constraints, and other times narrowing when gasoline prices surged. However, over the past decade, diesel has generally been cheaper by approximately 10 to 20 euro cents per liter. This gap has narrowed in recent years due to rising crude prices, increased blending mandates, and environmental taxes.

The rule of thumb for diesel financial viability was previously around 15,000 kilometers of annual mileage, but now depends on the manufacturer and vehicle model. The ADAC's experience shows that individual cases of diesel no longer being cost-effective are occurring more frequently. In 2019, diesel was cheaper in 13 out of 20 cases, while in 2025, it was cheaper in only 7 cases.

The shrinking gap between diesel and gasoline prices has significant implications for car purchasing decisions. In 2025, diesel was equal in cost to a comparable gasoline vehicle in one case, and diesel was more expensive in 12 cases. This trend may lead more consumers to consider gasoline vehicles as a more economical choice, particularly for those with lower annual mileages.

It is worth noting that the average price difference between diesel and gasoline has been impacted by geopolitical events, such as the Russia-Ukraine conflict, which caused price spikes in 2022. However, both fuels saw price increases in 2022, though diesel remained relatively less expensive than gasoline in most periods. The share of bio-components like biodiesel and HVO in diesel has fallen to a new low in 2024, which may impact diesel pricing dynamics going forward.

In conclusion, the trend of diesel prices in Germany is shifting, with diesel prices now only slightly lower than those of Super E10 gasoline. This narrowing gap has significant implications for car purchasing decisions, particularly for those with lower annual mileages. It is important for consumers to stay informed about fuel prices and make decisions based on their individual needs and circumstances.

[1] ADAC Fuel Price Monitor, www.adac.de/benzinpreis [2] German Federal Ministry of Transport and Digital Infrastructure, www.bmvi.de [3] Energy Watch Group, www.energywatchgroup.org [4] Deutsche Welle, www.dw.com

The shift in diesel prices in Germany, with diesel prices only slightly lower than Super E10 gasoline prices, could influence the financing decisions between the energy sector and the finance industry when considering the purchase of vehicles. This trend, particularly relevant to consumers with lower annual mileages, could lead to a preference for gasoline vehicles, impacting the demand for diesel.

The fluctuation in diesel prices, influenced by factors like geopolitical events and the reduction in the share of bio-components like biodiesel and HVO in diesel, may have broader effects on the energy industry, requiring adjustments in production and supply strategies.

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