Modest cutbacks in the prices of gasoline and diesel are expected next week, oil industry sources told the Manila Standard on Saturday.
The price of gasoline is expected to drop by P0.25 to P0.40 per liter, while diesel prices are poised to be cut by P0.05 to P0.15 a liter, the sources said.
Local oil companies usually implement rollbacks or rate increases every Tuesday.
Last Tuesday, the country’s oil firms raised the price of gasoline by P0.25 per liter effective 6 a.m. Tuesday but cut the price of diesel and kerosene by P0.10 and P0.40 per liter, respectively.
Petron implemented the following price adjustments effective at 6 a.m. on Oct. 15: P0.25/li increase for gasoline; P0.10/li rollback for diesel; and P0.40/li for rollback for kerosene.
These reflected movements in the international oil market, the country’s biggest oil company said in its advisory.
Aside from Petron, Pilipinas Shell Petroleum Corp., Chevron Philippines, PTT Philippines, Seaoil Philippines, Phoenix Petroleum Philippines, Unioil Philippines, Total Philippines also adjusted prices while other companies followed suit.
World oil prices declined last week amid the worsening US-China trade war, which could impact global oil demand. Geopolitical tensions in the Middle East tempered the price decline.
The world oil market also reacted to the report of the US Energy Information Agency which revised its oil price forecast to $57 per barrel in the second quarter next year. It also estimates a lower crude production for 2019 to 29.8 million barrels per day from 31.9 million barrels per day in 2018.
Last Oct. 5, 6 and 8, most of the oil companies implemented a price rollback of P0.80-P0.85 per liter for gasoline, P1 per liter for diesel and P1.15 per liter for kerosene amid indications of a slowdown in US economic growth and weak earnings in Europe.
Year-to-date adjustments stand at a net increase of P5.86 per liter for gasoline, P4.12 per liter for diesel and P1.21 per liter for kerosene.
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