MANILA – Fuel prices in the Philippines are expected to increase again next week, with projected hikes of up to PHP 1.20 per liter, driven by global oil market trends and exchange rate fluctuations.
According to Jetti Petroleum President Leo Bellas, diesel prices are likely to rise by PHP 0.60 to PHP 0.80 per liter, while gasoline could go up by PHP 1.00 to PHP 1.20 per liter.
“The global oil market is reacting to renewed concerns over supply disruptions, especially as the Russia-Ukraine conflict escalates,” Bellas said in a statement on Friday.
He explained that recent attacks by Ukraine on Russian ports and refineries have already affected output, while growing tensions in the Middle East are also pushing prices upward.
Seasonal demand is also a key factor. “As countries in the Northern Hemisphere approach autumn, demand for diesel is increasing. Combined with ongoing damage to Russian refineries and export facilities, the outlook for supply remains tight,” Bellas added.
While gasoline demand globally is showing signs of slowing, supply remains constrained due to operational issues in key refineries and scheduled maintenance activities, which are expected to limit production in the coming weeks.
However, Bellas pointed out that economic concerns are tempering the rise in prices. “Signs of a slowing U.S. economy are putting pressure on demand. In fact, a larger-than-expected increase in U.S. distillate inventories has raised questions about consumption trends in the world’s largest oil market.”
Locally, fuel prices have been rising for the past month, with this week’s increases ranging from PHP 0.10 to PHP 0.50 per liter.| BNN Integrated News
