Industry ministry denies gasoline cap drove record consumption

The Ministry of Trade, Industry and Energy said Tuesday it is not true that the gasoline price ceiling caused first-half consumption to reach a record high.

While gasoline consumption in the first half of 2026 rose 1.3 percent from a year earlier to hit an all-time high, the ministry attributed the increase primarily to higher usage in January and February before the price cap was implemented. Consumption during those two months jumped 14 percent compared with the same period last year, whereas volume from March through June fell 4 percent after the measure took effect.

January alone saw a 22 percent surge in gasoline use year on year, which the ministry said was the main driver behind the cumulative half-year growth.

The clarification addressed an article published by Yonhap Infomax on Aug. 24 suggesting that the price ceiling had reduced incentives for energy conservation and increased fiscal burdens. That report cited statistics showing a 6.4 percent rise in May consumption and similar levels in June as evidence that the policy failed to curb demand. The ministry noted that the statistics referenced in the media report reflect wholesale shipments by refiners, which differ from actual retail sales at gas stations.