Ananya Lohia , Delhi - Amid rising tensions in West Asia following the US-Iran conflict, the Centre has increased the windfall gains tax on diesel and aviation turbine fuel exports, while reducing the export duty on petrol. The revised rates came into effect on July 16.

According to the Finance Ministry, the Special Additional Excise Duty on diesel exports has been increased from Rs 8.5 to Rs 15.5 per litre, while the levy on aviation turbine fuel has been raised from Rs 7.5 to Rs 14.5 per litre. At the same time, the export duty on petrol has been reduced from Rs 4 to Rs 2.5 per litre. There is no change in the duty on petrol and diesel meant for domestic consumption.

The decision comes amid renewed uncertainty in global oil markets following the escalation of the US-Iran conflict and disruptions around the Strait of Hormuz, a key global oil shipping route. The government said the move aims to prevent exporters from benefiting excessively from higher crude prices while ensuring adequate fuel supplies within the country.

The revised export duties reflect the Centre's effort to balance domestic fuel availability with global market volatility, as geopolitical tensions continue to impact international energy prices.