Seoul: South Korea will significantly expand its temporary fuel tax cut in a bid to ease the financial burden on consumers amid the prolonged conflict in the Middle East, the finance ministry said Thursday. Under the latest measures to support people's livelihoods, the current tax cuts -- 7 percent on gasoline and 10 percent on diesel -- will be expanded to 15 percent and 25 percent, respectively.

According to Yonhap News Agency, the measure, which had been set to expire in April, will be extended through the end of May, according to the ministry. As a result, fuel taxes per liter, including value-added tax, will fall by 65 won (US$0.04) to 698 won for gasoline and by 87 won to 436 won for diesel.

The decision is aimed at easing the burden of rising oil prices and supporting small and midsize businesses, as well as vulnerable households affected by the prolonged conflict. South Korea first introduced the fuel tax cut in November 2021 as a response to rising energy prices. The government has since extended the measure, adjusting the rates in accordance with changes in the global energy market.