Fuel costs up anew on strong demand

Pump prices are expected to increase next week, potentially reversing the two consecutive weeks of rollbacks, according to Jetti Petroleum Inc. President Leo Bellas.

“Based on the first four days of trading, diesel may go up by around P1.30 to P1.50 per liter, while gasoline could increase by P0.60 to P0.80 per liter,” Bellas said in an advisory on Friday.

He attributed the expected hike to stronger global demand for oil and refined products, which outweighed the impact of higher supply following OPEC+’s move to unwind more production cuts starting in August.

“Prices of crude oil and refined fuel products have increased this week on signs of strong demand, which more than offset the impact of the additional supply,” Bellas said.

He added that other factors supporting the upward trend include forecasts of lower U.S. oil production, renewed Houthi attacks on Red Sea shipping routes, and continuing supply pressures from OPEC+.

Still, Bellas noted that global oil markets remain weighed down by bearish sentiment tied to concerns over the impact of U.S. tariffs on global economic growth.

Early this week, fuel retailers implemented a rollback of P0.70 per liter for gasoline, P0.10 for diesel, and P0.80 for kerosene, following the previous week’s larger reductions of P1.40, P1.80, and P2.20 per liter, respectively.