Subsidy on IEPS: Gasoline and diesel with relief for consumers

The Ministry of Finance and Public Credit has announced that both regular gasoline and diesel will receive a subsidy on the payment of the Special Tax on Production and Services (IEPS). This stimulus aims to alleviate the impact on consumers facing constant increases in fuel prices, which have raised concerns among the Mexican population. During the week of June 22 to 28, the IEPS on regular gasoline will be 5.86% and for diesel 6.24%. It is important to note that premium gasoline will not receive this stimulus, as published in the Official Gazette of the Federation (DOF). This measure represents relief for users of vehicles that use these types of fuel, who will see a slight decrease in the price per liter. Regular gasoline has benefited from this subsidy consecutively for two weeks, while for diesel this is the first time after five weeks without receiving such support. This suggests that the government is seeking to balance the impact on consumers, especially in a context of economic tensions and increases in international oil prices. Thanks to the IEPS subsidy, consumers will pay 5.8131 pesos per liter of regular gasoline instead of the usual 6.17 pesos, and 6.3629 pesos per liter of diesel instead of the 6.78 pesos. It is essential to highlight that for regular gasoline, which does not have the benefit, the IEPS rate remains at 5.2146 pesos per liter. The main objective of this subsidy is to avoid inflationary pressures that negatively impact the country's economy. With the implementation of this measure, the federal government seeks to cushion the direct impacts that fuel prices can have on the pockets of Mexicans, especially in a context of economic recovery following the COVID-19 pandemic. According to data provided by PetroIntelligence, the national average price per liter of regular gasoline is 23.69 pesos, while premium gasoline is at 25.268 pesos and diesel at 25.332 pesos. These costs, although they have had variations in recent weeks, continue to pose a challenge for consumers and businesses that depend on these inputs for their operation. It is important for authorities to continue monitoring closely the evolution of fuel prices and to take measures that ensure economic stability and the well-being of the population. The IEPS subsidy is a tool that, if applied strategically and transparently, can help alleviate the financial burden on citizens and maintain balance in the fuel market in Mexico. In a context of economic uncertainty and fluctuations in international oil prices, it is essential to promote transparency in setting fuel prices and to implement support measures for the most vulnerable sectors of society. The IEPS subsidy is one of the strategies that the government has implemented to address current challenges and protect the pockets of Mexicans from energy market fluctuations.