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Story summary
- German government will cut gasoline and diesel taxes by 17 cents and introduce a fuel price cap.
- The tax reduction takes effect in October 2026, with the price cap beginning in January 2027.
- Chancellor Friedrich Merz announced the measures as fuel prices rose from Iran’s Strait of Hormuz blockade and Houthi attacks.
- The announcement came two days before elections in Mecklenburg-Western Pommerania and Berlin, amid rising AfD support and a struggling CDU.