Finance ministers from six European Union member states have jointly called for the bloc to explore a new tax targeting oil companies that have reaped massive profits following the disruption of a key global shipping lane.

In a joint letter dated Monday, the finance chiefs of Germany, Spain, Portugal, Italy, Poland, and Austria formally requested that the topic be placed on the agenda for the upcoming EU Economic and Financial Affairs Council meeting. The letter was addressed to Ireland, which currently holds the rotating presidency of the EU Council. The session is scheduled to take place in Dublin on September 18 and 19.

In the correspondence, the six ministers argued that the bloc is facing one of the most severe supply shocks in decades, fueling widespread public anger over the surging cost of living. They noted that measures introduced so far by national governments have failed to bring about a lasting reduction or stabilization in prices for households and businesses.

"We therefore need joint action to ensure that those who have benefited from the crisis contribute their fair share to easing the burden on the public," the ministers wrote. They also emphasized the need to build on lessons learned during the 2022 energy crisis, proposing a more targeted EU-wide framework that could extend to the overseas profits of multinational oil corporations.

Since the outbreak of military conflict involving the United States, Israel, and Iran on February 28, international crude prices have climbed roughly 25%. Refined product prices have risen even more sharply, with European diesel prices surging over 70% and gasoline prices up about 20% since the war began. The ministers also called for the swift publication of an EU investigation into refinery margins to ensure that processing companies are not profiteering from the current price spike.

Pressure mounts for a windfall tax

Germany's Finance Minister Lars Klingbeil has repeatedly stressed that energy firms must not exploit the volatile environment to harm consumer interests. Officials within his ministry have underscored that any excess profits generated during the crisis must be returned to consumers.

Several of the signatory nations had already proposed taxing oil company profits earlier this year. Since the military action began in late February, the strategic waterway of the Strait of Hormuz has been severely disrupted, generating substantial windfalls for major energy producers. Despite mounting pressure, the European Commission has yet to signal a definitive stance on introducing a new levy on oil sector profits.

Divergent views persist within member states as well. In Germany, while Klingbeil's center-left Social Democratic Party supports the introduction of a windfall tax, Chancellor Friedrich Merz's center-right Christian Democratic Union has voiced clear opposition to the proposal.