The UAE Ministry of Finance has announced the adoption of a new decision that establishes a minimum excise price for liquids used in electronic smoking devices and tools. This step is part of efforts to strengthen compliance with the excise tax regime in the country.
According to this decision, the minimum excise price will be 1 dirham per milliliter for all liquids intended for e-cigarettes. This rule will take effect on September 1, 2026.
Meanwhile, existing minimum excise rates for cigarettes, shisha tobacco, ready-made tobacco products, and similar goods will remain unchanged. The Ministry explained that the goal of this decision is to align with market changes in the field of excise goods and ensure uniform application of standards across all categories of tobacco and electronic products.
Furthermore, it was noted that this measure contributes to increasing tax discipline and helps limit practices that could negatively affect the effective application of excise tax. Currently, the UAE levies an excise tax of 100 percent on all tobacco products subject to the excise regime, while the new decision exclusively concerns the minimum price threshold for calculating tax on electronic liquids.
The United Arab Emirates (UAE) has published new fuel prices that will take effect on August 1, 2026. In July, prices saw a decrease after four consecutive months of growth, which was attributed to the war between the US, Israel, and Iran, as well as the closure of the Strait of Hormuz.
According to the announced tariffs, Super 98 gasoline will cost 3.6 dirhams per liter, compared to 3.40 dirhams in July. Special 95 gasoline will cost 3.49 dirhams per liter, while the current rate was 3.29 dirhams. Prices for E-Plus 91 gasoline have been set at 3.41 dirhams per liter, an increase from the previous rate of 3.21 dirhams.
Diesel fuel will be sold at a price of 3.8 dirhams per liter, which is higher than the current cost of 3.6 dirhams. Since the start of the Middle East war on February 28, retail fuel prices in the UAE rose by more than 60 percent before decreasing in July.
Monthly changes in gasoline prices in the UAE directly affect household budgets, as fuel is a necessary and regular expense for most families. Even a small price increase over time may require drivers to allocate a larger portion of their income to fuel. Furthermore, the conflict between the US and Iran resumed on July 29. Previously, oil prices sharply rose after US President Donald Trump threatened to 'hit Iran very hard' following Iran's missile attack on a US base in Jordan on July 28.
