Global oil prices ease, but July 7 fuel price hike pushes through

CEBU CITY, Philippines – Motorists and vehicle owners using diesel will have to brace for higher fuel costs as oil companies are set to increase diesel prices.

The Department of Energy (DOE) announced on Monday, July 6, that local oil companies will implement a rollback in gasoline alongside increases in diesel and kerosene starting Tuesday, July 7.

The DOE’s Oil Industry Management Bureau (OIMB) showed that gasoline products — RON 97, RON 95, and RON 91 — will face a permitted price rollback ranging from ₱1.75 per liter to an increase of ₱0.25 per liter.

READ MORE: Brace for P3/liter oil price hike on July 7

Diesel and Diesel Plus, meanwhile, are set for increases ranging from ₱1.57 to ₱3.57 per liter, while kerosene prices may rise between ₱1.70 and ₱3.70 per liter.

MOPS

The mixed adjustments reflect the movement of global crude oil prices, which he said have been trending downward, according to Energy Usec. Alessandro Sales.

READ MORE: Shares fall in Asia, oil prices gain

“Yes, meron tayong good news. Ang average na Dubai crude ay bumaba na,” he told reporters on Monday’s press briefer.

He said the average Dubai crude price has already dropped below the $80-per-barrel marker, hitting around $65 per barrel last week.

READ MORE: Huge oil price rollback expected next week – DOE exec

However, Sales explained that this drop has yet to be fully felt at the pump, since oil companies still base their product pricing on the Mean of Platts Singapore (MOPS), the traded price benchmark for gasoline and diesel.

“This is not immediately translated to our pump prices, kasi ang basehan pa rin ng mga oil companies sa produkto ay yung Mean of Platts Singapore,” he added.

For now, MOPS for diesel and gasoline still appear poised to rise further, but Sales said it could stabilize within one to three months.

Supply

On the supply side, Sales noted that around 30 percent of the country’s fuel now comes through direct delivery, sourced almost straight from Saudi Arabia.

He cited reports that Saudi output is running at around 90 percent of capacity, with the United Arab Emirates also posting high production levels.

As of July 3, 2026, the Philippines had a total of 46.50 days’ worth of supply across all fuel products, an improvement from the previous week’s level.

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