Consumers can expect a significant oil price hike next week, by as much as P1.70 per liter for gasoline, as the global oil market reacts positively to the trade deal reached between the United States and the European Union.
This development followed the announcement by oil firms of a P2.50 per kilo or P27.50 per 11-kilo tank rollback in the price of liquefied petroleum gas (LPG), effective August 1.
Jetti Petroleum president Leo Bellas said gasoline will increase by P1.50 to P1.70 per liter while diesel will rise by P0.80 to P1 per liter.
This is based on the price movement indication for the week of Aug. 4, 2025, based on this week’s Mean of Platts Singapore and forex average (first 4 days) versus last week’s full week average.
“The oil markets responded positively following the trade deal between the US and the European Union, while the threat of US sanctions on Russia and buyers of Russian oil has also helped support oil prices this week,” Bellas said.
He said diesel prices continued to strengthen week-on-week as supply tightened, while the bigger-than-expected decline in US gasoline stocks supported the view of a strong driving season and peak summer demand surges.
The depreciation of the peso against the US dollar has also pushed this week’s price average higher than last week, Bellas said.
“Recently, the tariff threats, news of extension and uncertainty surrounding countries yet to negotiate a trade deal with the US, and the delay in the cutting of interest by the US Federal Reserve have weighed on crude prices,” he said.
For her part, Rodela Romero, Department of Energy director for the Oil Industry Management Bureau, said that kerosene prices may also increase by around P0.80 per liter.
Romero said renewed concerns over supply disruptions following US President Trump’s sanctions on Russia and Iranian oil, and hopes of improved economic activity after the US-EU trade deal pushed up oil prices.
Meanwhile, Petron Corp. said it will implement a P2.50 per kg (VAT-inclusive) rollback in LPG prices effective 12:01 AM Aug 1.
“This reflects the international contract price of LPG for August,” the company said.
Solane also announced a price rollback of P2.45 per kilo effective Aug. 1, 2025, at 8 AM.
