Andorrans Flock to Spain for Cheaper Fuel Despite Andorra Price Dip

Andorran drivers continue crossing into La Seu d'Urgell for cheaper fuel, with Spanish prices remaining competitive despite a recent slight drop at Principat pumps.

Current prices at the Esclatoil low-cost station in La Seu stand at €1.417 per litre for 95 octane unleaded—with a loyalty card—while diesel costs €1.498 per litre. In Andorra, unleaded 95 ranges from €1.628 to €1.641 per litre across stations, with diesel between €1.668 and €1.675. Pumps in Escaldes-Engordany and Pas de la Casa report a roughly five-cent drop about 10 days ago, but levels have stabilised since.

David Porqueres, president of the Andorran Fuel Importers Association, said the Spanish government's tax cuts—lowering VAT from 21% to 10% and adjusting special duties—have made cross-border refuelling attractive for consumers. He noted that recent Statistics Department data confirm a sales drop, costing the government around €300,000 in lost April revenue from reduced imports. The association had warned Finance Minister Ramon Lladós about this risk two months ago during a meeting.

Porqueres highlighted ongoing uncertainty, stating: "The Spanish decree runs until 30 June, and if the conflict doesn't change, the situation will continue." He emphasised that prices remain tied to oil barrel fluctuations and Middle East tensions, including US and Israeli strikes on Iran and partial Strait of Hormuz closure. Andorran prices have risen over 30% for diesel and 23% for unleaded 95 since pre-conflict levels of about €1.26 and €1.30 per litre three months ago.

The trend has reversed decades of cheaper Andorran fuel drawing Spanish and French visitors across the Farga de Moles border. Local stations report ongoing sales declines as more Andorrans opt for the short trip to Esclatoil, part of the Esclat Bon Preu group, which opened last year. Spain's March measures under Pedro Sánchez have so far contained price rises, while Andorra's government under Xavier Espot has held taxes steady. No further talks with authorities have occurred since the earlier meeting.