Mexico Diesel Subsidy Held at 100% as Petrol Discounts Rise
The Mexico diesel subsidy stays at 100% for the week to 25 September 2026, while the excise discount on Magna and Premium petrol rises again. The post Mexico Diesel Subsidy Held at 100% as Petrol Discounts Rise appeared first on The Rio Times .
Mexico's finance ministry has maintained a full diesel subsidy for an additional week, while simultaneously increasing the tax breaks on both diesel and petrol grades. The subsidy period extends until September 25, 2026. The government also raised the tax discount on petrol, which covers the week of September 19 to 25, 2026. The measure, published in the government gazette on September 18, 2026, waives taxes on fuel that are based on a fixed peso amount per litre rather than a percentage.
The excise duty, known as the IEPS, is built into the pump price, representing a quarter to a third of it. A 100% subsidy means the fuel incurs no excise at all, resulting in revenue the federal government does not collect. The 2026 excise quota for diesel is MXN 7.3634 per litre, equivalent to approximately US$0.43. Hacienda waived the entire amount and then added a supplementary stimulus of MXN 1.8361 per litre, about US$0.11, which is funded directly from the budget.
For petrol, Magna's subsidy rose to 62.70% of a quota of MXN 6.70, roughly US$0.39, waiving MXN 4.20 (US$0.24) and leaving drivers to pay MXN 2.50, or US$0.15. Premium petrol's subsidy increased to 59.12% of a quota of MXN 5.66, about US$0.33, waiving MXN 3.3462 per litre, equating to US$0.19 and leaving MXN 2.31 of excise payable per litre, or US$0.13.
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