GASOLINE and diesel prices are expected to increase again next week, as the market reacts to tensions in the Middle East and the likely spike in oil demand from the US and Europe due to the ongoing winter season, local oil industry sources said Friday.
According to sources, diesel prices could increase from P1.20 to P1.40 per liter, while gasoline could move slightly from P0.30 to P0.50 per liter.
These estimates are based on the four-day trading of Mean of Platts, Singapore, the pricing basis of refined goods in Southeast Asia.
Next week’s fuel price movements would be mainly due to tensions in the Middle East and the seasonal demand increase.
“Oil prices increased mostly due to worries of tightening near-term supply as a result of the temporary halting of production at two large oilfields in Kazakhstan and export constraints,” Jetti Petroleum President Leo Bellas said.
“Other factors mainly pushing oil prices higher are the demand optimism from China following the better-than-expected economic growth data; stronger economic growth forecast for 2026 from the International Monetary Fund; and the sharp rise in demand from the US and Europe due to the colder temperatures,” he added.
“Also note that gasoline prices in the region are relatively weaker due to ample supply, but expectations of lower gasoline export volumes from China ahead of the Lunar New Year season prevented prices from going lower,” Bellas continued.
This week, diesel prices jumped by P2.00 per liter, while gasoline prices went up by P1.00 per liter.
