Fuel costs to climb anew on global jitters

Motorists should brace for another round of pump price increases next week, with the Department of Energy (DOE) citing volatile global oil markets and trade frictions.

DOE Oil Industry Management Bureau Assistant Director Rodela Romero said on Friday that the first four trading days in the Mean of Platts Singapore indicated gasoline prices could rise by around P0.60 per liter, diesel by about P1.00, and kerosene by roughly P0.50.

The upcoming upward movement marks the second straight week of hikes across all fuels and the third consecutive week for gasoline.

Romero attributed the expected uptick to a sharper-than-expected decline in US oil and fuel inventories, along with the potential impact of new US tariffs on India.

She added that traders remain on edge as they monitor US-Ukraine-Russia diplomatic efforts.

In a separate comment, Jetti Petroleum Inc. President Leo Bellas also estimated that diesel prices could increase by P0.80 to P1.00 per liter, while gasoline may rise by P0.40 to P0.60.

Bellas explained that crude and refined oil prices have rebounded this week amid renewed fears of supply disruptions following intensified Russian and Ukrainian strikes on each other’s energy infrastructure.

Concerns that new US sanctions on Russia and its crude buyers could choke global supply flows have also fueled price volatility.

“Demand optimism further supported prices following signals from the US Federal Reserve of a possible interest rate cut, and a large drawdown in US crude and fuel inventories,” Bellas said.

However, he noted that potential headwinds could temper the rally. Weaker US demand is expected as the summer driving season winds down, while OPEC+ is set to raise September output and ease voluntary production cuts, which may relieve supply constraints.

Bellas also pointed to uncertainty over the global impact of fresh US tariffs on India, which could shift trade flows and affect fuel demand in Asia.