The Middle East conflict spikes fuel costs, putting pressure on Italy’s transport, logistics, and industrial sectors
Iran conflict and fuel price shock
The Israeli attack on Iran on June 13, 2025, triggered an immediate surge in global oil prices, with Brent and WTI up by 7.37% and 8% respectively. This resulted in a 10 to 15 cent/litre increase in fuel prices, striking a major blow to transport and logistics companies in Italy.
According to the Unimpresa research centre, an average fleet of 50 trucks could face extra annual costs of €200,000 to €300,000, seriously impacting the already narrow profit margins in the freight industry.
Ripple effects on logistics, inflation, and competitiveness
This surge creates a domino effect: transport costs go up, businesses are forced to either raise prices or cut profits, and domestic consumption slows down, affecting Italy’s export-driven economy.
It’s not just road freight—sea and air logistics are also affected, with shipping costs climbing by 5-10%. Electricity prices are rising too, since 40% of Italian electricity is gas-powered, affecting energy-heavy industries like ceramics, glass, steel, and chemicals.
A fragile Italy in a volatile world
Italy is one of Europe’s most exposed countries, importing over 90% of its gas and 95% of its oil. The recent energy price hikes could push the cost of electricity from €120-150/MWh up to €140-180, with severe impacts on SMEs and households.
While the global scenario still appears contained, there’s concern about potential blockades at the Strait of Hormuz, through which 20% of the world’s oil passes. Even without escalation, a structural 10-15% energy price rise is now likely if tensions persist.
What companies are demanding and what can be done
Transport associations are calling for fuel tax relief and incentives for low-emission fleets. Some structural solutions, like the TAP pipeline and diversified LNG imports from the US and Qatar, help—but immediate government action is needed.
Without intervention, Italy could face price increases, demand contraction, and a slower economy in 2025. The energy transition could gain momentum, but short-term solutions are essential to absorb the shock now.
FAQ
1. How much does the fuel increase cost an average truck fleet?
Up to €300,000 more per year for a fleet of 50 trucks.
2. What happened to oil prices after the Iran attack?
WTI rose by 8%, and Brent by 7.37%.
3. How does this affect electricity in Italy?
Prices could rise from €120-150 to €140-180 per megawatt hour.
4. Which sectors are most affected?
Transport, ceramics, chemicals, glass, steel, and manufacturing.
5. What’s the impact on Italian families?
Reduced purchasing power and rising consumer prices.
6. Can companies absorb these energy hikes?
Unlikely—many will have to raise rates or cut profits.
7. Is Italy more exposed than other EU countries?
Yes, it heavily depends on imported energy sources.
8. What about maritime and air logistics?
Shipping costs are rising by 5-10%, adding supply chain pressure.
9. Are energy reserves enough to help?
Italy’s gas reserves are 90% full, offering temporary relief.
10. What actions are being proposed?
Tax breaks on fuel and support for energy-efficient transport fleets.
Leave a Reply