Finance Minister Koo Yun-cheol said the decision was made after consultations with relevant ministries to help curb price increases.
The current 15 percent tax cut on gasoline and the 25 percent cut on diesel, both set to expire at the end of this month, will now remain in effect through July 31, keeping the fuel tax at 698 South Korean won per liter for gasoline and 436 won for diesel.
The measure follows an earlier extension in March, as the Middle East conflict continued to disrupt fuel supplies.
"We believe the extension will help relieve pressure on consumer prices," a ministry official said.
Consumer prices rose 2.6 percent in April from a year ago, the highest in 21 months. Prices of petroleum products, in particular, jumped 21.9 percent, marking the steepest rise since July 2022.
Meanwhile, the ministry also pledged to crack down on the hoarding of key products and goods to help keep prices stable and ferret out price-rigging practices and other irregularities.
Copyright ⓒ Aju Press All rights reserved.
