Dutch drivers flood Germany for cheaper gas after Berlin slashes fuel taxes

Dutch motorists are crossing into Germany in growing numbers to fill up after the German government slashed fuel excise taxes, dropping prices by about 10 cents per liter starting in the early morning of May 1, according to NOS.

The reduction widened the gap with record Dutch pump prices to around 30 cents per liter, according to Border Tanker. A full tank in Germany now costs more than 10 euros less than in the Netherlands.

The two-month cut is expected to deliver an average reduction of about 17 cents per liter and a total benefit of 1.6 billion euros to drivers and businesses. It aims to ease the burden of rising fuel costs due to the Strait of Hormuz blockade.

Germany’s ADAC, the German counterpart of the Dutch ANWB, expects further price drops in the coming days as stations deplete older, higher-taxed stocks. Station operators can raise prices once a day around noon, after which they typically fall, making mornings the cheapest time to refuel.

Dutch researcher Jeannine van Reeken-van Wee, who studied tank tourism for ABN Amro, said larger price differences attract drivers from farther away.

“People are sensitive to it when price differences increase,” she told NOS. “Motorists also made a quicker trip to Belgium when the differences became larger.” Her calculations showed about 15 percent of gasoline consumption in the southern Dutch border region shifted to Belgium during previous spikes.

Near the border, Dutch station owner Gerrit Heinen already notices fewer customers. “I expect two somewhat quieter months,” he told NOS. Business was lighter last Thursday as drivers held off for the German cut. “It is what it is. We have experienced it more often.”