From grocery stores to hardware shops, the real pressure may not come from diesel prices alone, but from the last mile vehicles that keep small retailers stocked.
Malaysia’s targeted diesel subsidy was designed to reduce fuel leakage while protecting essential logistics. Under the current framework, eligible commercial goods vehicles under the Subsidised Diesel Control System 2.0 can access subsidised diesel at RM2.15 per litre. In contrast, the diesel retail price in Peninsular Malaysia was adjusted to RM3.35 per litre from 10 June 2024.
On paper, the logic is clear. Businesses that move goods should be protected from a sudden fuel cost shock, while non-eligible users pay market pricing. But in the real economy, the pressure may not sit only with large logistics companies. It may sit inside the smaller delivery network that keeps neighbourhood grocery stores, mini markets, sundry shops, hardware shops and small building material retailers running every day.
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