Wah Fu Petroleum Company executive pledges to pass on subsidy to customers, while taxi union leader praises government for quick intervention
3-MIN READ3-MIN ListenLo Hoi-yingPublished: 3:11pm, 30 Apr 2026Updated: 3:15pm, 30 Apr 2026Operating costs for Hong Kong’s industrial and commercial sectors have jumped 50 per cent since the start of the US-Israel war with Iran, according to an oil industry representative, who said distributors would pass on subsidies to customers.
A taxi union leader on Thursday also called on the government to extend its subsidy on liquefied petroleum gas (LPG) beyond two months if oil prices rise further.
The government’s subsidy of HK$3 (38 US cents) per litre of diesel to support public and commercial vehicles and vessels took effect on Thursday and would also last for two months.
The funds will be directly paid to local oil companies based on sales volume, after lawmakers approved a massive HK$1.8 billion government scheme to ease escalating fuel prices for the transport sector over the next two months.
Oil prices in Hong Kong, which follow the international market, have surged since the war started in February, significantly increasing diesel costs, said Janet Lo, deputy general manager of Wah Fu Petroleum Company.
Local distributors bought diesel from the five major oil companies before reselling it to the industrial and commercial sectors, such as laundry facilities, manufacturers, transport fleets and fishing vessels, she explained.
