Germany Cuts Fuel Taxes Amid Middle East War Fallout

The German government has agreed to cut fuel taxes in an effort to ease the financial burden on motorists amid surging prices due to global supply shocks and oil route attacks.

The proposed tax cut, which would run until the end of the year, is part of a package aimed at alleviating pump pain for drivers. The measure will be followed by a ceiling price on fuel sales, according to sources close to the government.

The decision comes as Europe's biggest economy grapples with the aftermath of the Middle East war, which has seen Tehran impose restrictions on Gulf crude exports through the Strait of Hormuz and Yemen's Iran-backed Houthis targeting an alternative export route through the Bab al-Mandab Strait.