Freight News, Road

IRU calls for urgent action on soaring fuel prices

[ March 9, 2022   //   Chris ]

The International Road Transport Union (IRU) is calling for urgent action to deal with rising commercial road transport fuel prices. It is calling for urgent action to cap fuel prices for commercial road transport and reduce or rebate taxes and excise on fuel for commercial operators.

Global oil prices have reached their highest level since 2008, and are set to climb higher amid continuing instability and sanctions related to the Ukraine crisis.

Average diesel prices, including taxes and excise, across the 51 countries in all regions that IRU tracks on a weekly basis, have risen by 33% over the past 12 months. With wafer-thin margins, operators must pass on cost increases to users or risk bankruptcy and further pressure on transport networks, it warns.

IRU president, Radu Dinescu, said, “Commercial road transport operators are struggling with rapidly escalating fuel prices. Some are already on the verge of bankruptcy, but if road transport does not work properly, already stretched supply chains will be affected even more. The biggest losers will be operators’ clients, the ordinary citizens and businesses who will suffer if commercial road transport costs spiral out of control.”

IRU Secretary General, Umberto de Pretto, added: “If commercial road transport cost rises are not urgently contained, by capping fuel prices and cutting fuel taxes for operators, all communities and sectors of the global economy risk serious inflationary consequences. IRU calls on governments to act urgently.”

IRU calls for urgent action on soaring fuel prices

The International Road Transport Union (IRU) is calling for urgent action to deal with rising commercial road transport fuel prices. It is calling for urgent action to cap fuel prices for commercial road transport and reduce or rebate taxes and excise on fuel for commercial operators.

Global oil prices have reached their highest level since 2008, and are set to climb higher amid continuing instability and sanctions related to the Ukraine crisis.

Average diesel prices, including taxes and excise, across the 51 countries in all regions that IRU tracks on a weekly basis, have risen by 33% over the past 12 months. With wafer-thin margins, operators must pass on cost increases to users or risk bankruptcy and further pressure on transport networks, it warns.

IRU president, Radu Dinescu, said, “Commercial road transport operators are struggling with rapidly escalating fuel prices. Some are already on the verge of bankruptcy, but if road transport does not work properly, already stretched supply chains will be affected even more. The biggest losers will be operators’ clients, the ordinary citizens and businesses who will suffer if commercial road transport costs spiral out of control.”

IRU Secretary General, Umberto de Pretto, added: “If commercial road transport cost rises are not urgently contained, by capping fuel prices and cutting fuel taxes for operators, all communities and sectors of the global economy risk serious inflationary consequences. IRU calls on governments to act urgently.”

Tags: International Road Transport Union; IRU