Mexico Lifts Premium Gasoline Tax Relief to 71%
MEXICO · ENERGY
Key Facts
- —The country Mexico, led by President Claudia Sheinbaum, is the United States’ southern neighbour and took almost half of US finished gasoline exports in July.
- —What happened On Friday 9 October 2026, Mexico published fuel tax relief rates for 10 to 16 October, lifting premium relief to 71.29%.
- —The numbers Relief per litre is 4.31 pesos (about US$0.24) on regular, 4.03 pesos (US$0.22) on premium and 7.36 pesos (US$0.40) on diesel.
- —The US link Mexico bought 417,000 barrels a day of US finished gasoline in July 2026, 48.5% of all such US exports, US Energy Information Administration data show.
- —Border zone A separate discount near the US border is unchanged, ranging from zero in Tijuana to 4.55 pesos (US$0.25) a litre in Acuña, Coahuila.
- —Prediction markets Polymarket gives US crude a 37% chance of touching US$100 a barrel in October (10 October, 3:19 a.m. ET).
- —Still open The weekly orders do not state what the relief costs, and rates for 17 to 23 October have not been set.
Mexico raised its gasoline tax relief on premium fuel to 71.29% of the federal excise for 10 to 16 October. The order, published on Friday 9 October in the government gazette, also keeps the per-litre excise on diesel at zero.
The weekly decision matters north of the border because Mexico buys almost half of the finished gasoline the US exports. Each peso of relief is excise revenue the government gives up, so drivers pay less tax at the pump.
What the Finance Ministry Changed
The Finance Ministry, known in Mexico as Hacienda, sets gasoline tax relief every week under a decree from December 2016. It applies to the IEPS, a special tax on production and services that Mexico charges per litre of fuel.
Agreement 152/2026 lifts the premium discount to 4.03 pesos (about US$0.22) a litre, up 0.46 pesos (about US$0.025) from 3 to 9 October. That is a 12.8% rise in the relief on premium fuel.
Regular gasoline gets 4.31 pesos (about US$0.24) a litre, or 64.31% of the tax, up from 63.34% under Agreement 148/2026. Drivers still pay 2.39 pesos (US$0.13) of excise per litre of regular and 1.62 pesos (US$0.09) on premium.
Diesel keeps a 100% discount worth 7.36 pesos (about US$0.40) a litre, so the weekly excise rate on diesel is zero. A complementary diesel credit rises to 1.09 pesos (US$0.06) a litre, from 0.60 pesos (US$0.03) for 3 to 9 October.
The order, dated Thursday 8 October, was issued under Carlos Gabriel Lerma Cotera, the deputy finance minister for revenue. Gilberto Sosa Sánchez, head of the ministry’s non-tax and hydrocarbon revenue policy unit, signed it in his absence.
It took effect on Saturday 10 October, the day after publication. Amounts in this article are converted at about 18.33 pesos to the US dollar on 10 October 2026.
Oil Prices Stay High After a September Peak
West Texas Intermediate (WTI), the main US crude benchmark, sold for US$96.24 a barrel at Cushing, Oklahoma, on Tuesday 6 October. That is the latest daily price from the US Energy Information Administration (EIA), the statistics arm of the US Department of Energy.
WTI peaked at US$107.02 on Tuesday 15 September, up from US$84.57 on Friday 28 August. Premium gasoline tax relief rose in the latest order even though WTI traded below that mid-September peak.
Diesel relief already stood at 100% for 19 to 25 September under Agreement 141/2026, part of the same weekly system. Premium relief has climbed from 59.12% that week to 71.29% for 10 to 16 October, including an 8.1-point jump in the latest order.
The complementary diesel credit was larger in that September week, at 1.84 pesos (about US$0.10) a litre. It fell to 0.60 pesos (about US$0.03) for 3 to 9 October before rising again.
A Separate Discount Along the US Border
A second order, Agreement 153/2026, sets a separate gasoline tax discount for sales within 45 kilometres (28 miles) of the US border. The amount falls in steps from the 20-kilometre strip nearest the line, quoted below, to the outer band.
In Tijuana and Playas de Rosarito, across from San Diego, the border discount is zero for 10 to 16 October. In Mexicali, next to Calexico, California, it is 0.58 pesos (about US$0.03) a litre on regular gasoline.
Ciudad Juárez, facing El Paso, Texas, gets 3.41 pesos (about US$0.19) a litre on regular. Nuevo Laredo, across from Laredo, gets 4.12 pesos (US$0.22), and Acuña in Coahuila 4.55 pesos (US$0.25).
Every amount matches the previous week’s Agreement 149/2026, published on Friday 2 October. Along the US border, only the nationwide relief changed for 10 to 16 October.
What It Means for You
Drivers from El Paso or Laredo who fill up across the border get the same border discount as in the week to Friday 9 October. In Tijuana, across from San Diego, that discount stays at zero.
Further inland, only the nationwide gasoline tax relief applies, and it grew for premium on Saturday 10 October. The orders set tax rates, not the prices that stations post at the pump.
For US refiners, Mexico took 417,000 barrels a day of US finished gasoline in July, out of 859,000 exported, EIA figures show. Demand south of the border is a large share of their export business.
For investors in Mexican government debt, every peso of relief is excise revenue the treasury does not collect. The weekly orders list rates per litre, not the total cost.
What Prediction Markets Say
On Polymarket, bettors give WTI crude a 37% chance of touching US$100 a barrel in October (10 October, 3:19 a.m. ET). That is up 5 points in 24 hours, while a dip to US$85 is priced at 55.5%.
About US$1.6 million has been wagered across all price levels in that October oil market. A higher oil price would make the fuel Mexico imports more expensive.
Why we show this: prediction markets turn real-money bets into a live probability that moves within minutes of the news, which is why investors, campaigns and newsrooms in the United States now follow them closely. We show them next to polls and official results, never instead of them.
What Is Not Known
Hacienda has not said how much the gasoline tax relief for 10 to 16 October will cost in lost excise revenue. The two orders give amounts per litre only.
Rates for 17 to 23 October have not been set, and the ministry gives no forecast. It is also unclear how much of the larger premium discount will reach pump prices.
More: Mexico news in English, every day from The Rio Times.
Frequently Asked Questions
What is Mexico’s gasoline tax relief?
Mexico’s gasoline tax relief is a weekly discount on the IEPS, the federal excise charged per litre of fuel. The Finance Ministry publishes the rates in the government gazette, and each set applies for seven days.
How much is the relief from 10 to 16 October?
Regular gasoline gets 4.31 pesos (about US$0.24) a litre, premium 4.03 pesos (US$0.22) and diesel 7.36 pesos (US$0.40). The weekly excise rate on diesel is therefore zero.
Does the US border region get a different rate?
Yes, stations within 45 kilometres (28 miles) of the US line get a separate gasoline tax discount that varies by town. It ranges from zero in Tijuana to 4.55 pesos (US$0.25) a litre in Acuña, unchanged from the week before.
Why does it matter to Americans?
Mexico bought almost half of US finished gasoline exports in July 2026, according to the EIA. Its gasoline tax relief lowers the fuel tax in a major market for US refiners, including towns along the US border.
Sources: Diario Oficial de la Federación, SHCP Acuerdo 152/2026 (fuel IEPS stimulus, 10–16 October 2026), 9 October 2026; Diario Oficial de la Federación, SHCP Acuerdo 153/2026 (US border region gasoline stimulus, 10–16 October 2026), 9 October 2026; Diario Oficial de la Federación, SHCP Acuerdo 148/2026 (fuel IEPS stimulus, 3–9 October 2026), 2 October 2026; Diario Oficial de la Federación, SHCP Acuerdo 149/2026 (US border region gasoline stimulus, 3–9 October 2026), 2 October 2026; Diario Oficial de la Federación, SHCP Acuerdo 141/2026 (fuel IEPS stimulus, 19–25 September 2026), 18 September 2026; US Energy Information Administration, Cushing WTI spot price (daily), 7 October 2026; US Energy Information Administration, finished motor gasoline exports by destination, 30 September 2026.
This article was produced by The Rio Times’ automated newsroom system. How we use AI · Report an error · Editorial responsibility: Matthias Camenzind, Editor-in-Chief