I should fill it up before it goes up any more
At about 8 p.m. on the 24th, a transporter surnamed Seo, 67, whom we met at a gas station in Seongbuk District, Seoul, said this. Seo said the price of gas seemed likely to rise further, so he came to fill up in advance.
The price of gasoline in Seoul has surpassed 1,800 won per liter. The won-to-dollar exchange rate is jumping, and the fuel tax cut rate has been reduced. With gas prices rising for four straight weeks recently, both customers and owners at gas stations are stockpiling.
According to Opinet, the oil price information system of the Korea National Oil Corporation (KNOC), as of 4 p.m. on the 25th, the national average gasoline price is 1,745.68 won per liter. In a month, it climbed from the 1,600-won range to the 1,700-won range. The average gasoline price in Seoul is even higher, at 1,814.2 won per liter.
As gas prices keep rising, gas stations are crowded with customers trying to fill up in advance. In particular, the gas station with the cheapest gasoline price in Seocho District saw more than 700 vehicles by 8 p.m. on the 24th.
A person surnamed Byeon, 47, whom we met at this gas station, said, "I came here looking for a place with cheap gas prices," adding, "Prices have gone up so much lately that it's burdensome." A person surnamed Kim, 67, also said, "This place is still cheaper than nearby, so I came here even though it's a bit far."
It is not only customers who are filling up. Gas station owners are also increasing their reserves as much as possible. It is to prepare for a possible increase in supply prices.
A person identified as A, who runs a gas station in Cheongju, North Chungcheong Province, said, "I heard that supply prices are likely to rise further, so I'm filling the tanks as much as possible."
A gas station owner identified as B in Ansan, Gyeonggi Province, also said, "We're reviewing the expected supply price and settlement price, and judged that filling up now is advantageous," adding, "It won't be easy to resolve the factors pushing up gas prices in just a month or two."
In particular, in Seoul, where gas stations are concentrated, owners said they need to secure margins (sale price minus cost) to be competitive on price. Another gas station owner in Seocho District said, "We increased the amount stored in the tanks," adding, "We figured that securing supply in advance would allow us to sell relatively cheaply later."
Dubai crude fell about 9%, from $68.82 per barrel on the 24th of last month to $62.63 the previous day. Despite the drop in crude prices, there are two main reasons retail gas prices at stations are rising.
First, the magnitude of the fuel tax cut has been steadily shrinking. The Ministry of Economy and Finance decided to lower the gasoline fuel tax cut rate from the existing 10% to 7% from this month through the end of the year, and to lower the cut rate for diesel and liquefied petroleum gas (LPG) from 15% to 10%. The increased fuel tax is reflected in gas station prices.
The exchange rate is also fanning the rise in gas prices. The won-to-dollar exchange rate closed at 1,472.4 won at 3:30 p.m. on the Seoul foreign exchange market. That is up 2.3% (32.6 won) from 1,439.8 won on the 24th. As the won weakens and the cost of buying crude rises, domestic gas prices also go up.
As OPEC and OPEC+, a consultative body of major oil-producing countries, decided to halt production increases in the first quarter of 2026 (January–March), some expect it will not be easy for international oil prices to fall further. Unless there is a change in the exchange rate or fuel tax policy, it will be difficult for gas prices at domestic stations to turn lower.
For the time being, both customers and owners at gas stations are left to engage in a "waiting game." A real estate entrepreneur surnamed Lee, 51, who visited a gas station the previous day, said, "I usually put in 60,000 won, but I only put in 30,000 won now," adding, "I want to watch gas prices just in case."