With a drop of almost 30% in Asia, the price of oil has recorded in recent days its worst drop since the first Gulf War in 1991. In question, a significant drop in crude oil prices initiated by Saudi Arabia, but also the economic slowdown caused in some countries by the coronavirus crisis. The Chinese economy has thus been idling for more than a month. Now it is Europe's turn to be affected, no EU country being spared the epidemic. If this is very bad news for producing countries, which could see their economy greatly destabilized, for motorists, it is the insurance of a cheaper fuel.
Since January 1, a barrel of Brent has lost 50% of its value. This fall in prices has already resulted in lower prices at the pump: 13 cents less since the start of the year on the liter of fuel, including 3 cents just last week. The price of the Super 95 is now displayed at 1.46 euros per liter, while diesel is sold on average 1.35 euros per liter.
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"If the price of crude loses 10%, the price at the pump drops by 3%"
This decline should continue further in the coming days. "The variation that we observed last weekend will end up at the pump. I consider that if the price of crude loses 10%, the price at the pump drops by 3%. Because at the pump, you have two-thirds of taxes which represent approximately one euro per liter, and which do not vary ", explains to Europe 1 Olivier Gantois, the president of the Union of the petroleum industries of France. However, it is unclear at this time whether the oil companies will pass on all or only part of the drop in crude prices.
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No rush on gas stations
These lower prices should not put pump attendants at a disadvantage. "Unlike some of our colleagues, I think of tobacco sellers who receive a percentage commission on the sale of a pack of cigarettes, we have a fixed margin, regardless of the price of a barrel," notes Francis Pousse, President of the fuel branch of the National Council of Automobile Professions and owner of a service station in Le Mans. This professional also does not expect a rush in service stations, users likely to limit their travel faced with the risk of contamination with coronavirus. However, a fall in attendance could impact the stations' turnover.