BREAKING: Govt hikes excise duty by Rs 2 each on petrol & diesel

In a fresh move, the government on Monday increased excise duty on petrol and diesel each by Rs 2 per litre. The hike comes at a time when global crude oil prices are witnessing a sharp decline due to escalating trade tensions triggered by the Trump administration’s latest tariff actions.

Despite crude oil escaping the latest round of US-China trade tariffs, global oil prices plunged dramatically, fueling fears of an impending economic downturn. Brent crude nosedived over 3.5%, settling at $63.30 per barrel, while West Texas Intermediate (WTI) slid to $59.79—extending last week’s sharp $10 decline.

The dramatic drop in crude was triggered by escalating concerns over a potential global recession, stoked by intensifying trade hostilities between the world’s two largest economies. The tremors were felt across financial markets, with oil-linked stocks bearing the heaviest blows.

On Monday, April 7, shares of major Indian upstream oil corporations witnessed a brutal sell-off:

Reliance Industries tumbled 4.6%

Oil and Natural Gas Corporation (ONGC) declined 4.4%

Indian Oil Corporation (IOC) plunged 6.1%

These companies, heavily involved in exploration and production, are particularly vulnerable to falling crude prices, which eat into both revenue and profit margins.

The pain extended to oil marketing companies (OMCs) as well, though the performance was mixed—BPCL inched up 0.21%, while IOC and HPCL dipped 2.38% and 2.04% respectively. Collateral damage was also evident in adjacent sectors, as aviation, paint, and tyre stocks slipped amid the broader selloff.

The bloodbath dragged the BSE Sensex down by 4.37%, standing at 72,069.94 by midday—highlighting the widespread investor anxiety.

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