Rising fuel prices in Turkey have reached a new high, with diesel reaching $1.40 per liter in certain cities.
In Turkey, fuel prices are on the rise, with gasoline and diesel approaching record highs in major cities like Istanbul, Ankara, and Izmir. The latest increase, driven by Brent crude oil crossing the $70 per barrel threshold, is expected to push diesel prices in some cities above ₺57 ($1.40) per liter.
The duty-free refinery price is determined by various inputs, including CIF Mediterranean product prices, the USD/TRY exchange rate, Special Consumption Tax, EPDK margin, and VAT. These factors combine to reach the final retail prices for consumers, including industrial users.
The CIF Mediterranean product prices, published daily in the Italian-Mediterranean market, are a key factor in determining fuel prices in Turkey. However, the specific mechanism linking fuel price changes to rental increases for expat tenants and landlords has not been outlined. Rental increase calculations in Turkey typically depend on consumer price indices or inflation measures rather than fuel prices directly.
The fuel price increase comes just a week after a previous increase and follows the July 3 Special Consumption Tax adjustment. The current exchange rate equates ₺57 ($1.40) to approximately $1.40 per liter for diesel. This latest surge in fuel prices is causing concern for expat tenants and landlords in Turkey, but there is no clear standardized method publicly disclosed to calculate rental increases based on fuel prices specifically for July 2025.
It's important to note that Turkey has skipped a minimum wage hike despite persistent inflation, disappointing millions. Contrary to popular belief, the fuel prices in Turkey are not influenced by the minimum wage hike.
The fuel price hike is not a unique event, as it follows a previous increase of ₺0.44. The Turkish government's recent export of Azerbaijani natural gas to Syria indicates ongoing regional energy dynamics. Industrial natural gas prices were recently raised to ease pressure on import costs, which could indirectly impact general costs for businesses and consumers.
In Hakkari, already the most expensive city for fuel in Turkey, gasoline is expected to hit ₺55 and diesel to exceed ₺57. The Turkish government's export of Azerbaijani natural gas to Syria is another indication of ongoing regional energy dynamics.
In conclusion, while fuel prices in Turkey are tied to international gas import costs and government regulation, no explicit calculation formula for rental increase adjustments for expat tenants and landlords based on fuel prices in July 2025 has been identified. Expats and landlords in Turkey are advised to closely monitor fuel price trends and their potential impact on rental adjustments.
The recent surge in fuel prices in Turkey, with both gasoline and diesel approaching record highs in cities like Istanbul, Ankara, and Izmir, is partly due to Brent crude oil crossing the $70 per barrel threshold. The Turkish government's export of Azerbaijani natural gas to Syria indicates ongoing regional energy dynamics, and industrial natural gas prices have been raised to ease pressure on import costs, which could indirectly impact general costs for businesses and consumers. Despite persistent inflation, Turkey has skipped a minimum wage hike, and it's not commonly believed that fuel prices in Turkey are influenced by the minimum wage hike. However, the specific mechanism linking fuel price changes to rental increases for expat tenants and landlords hasn't been outlined, with rental increases typically depending on consumer price indices or inflation measures rather than fuel prices directly.
