Duterte slaps additional duty on imported crude oil, refined petroleum products

President Rodrigo Duterte has imposed an additional duty of 10% on imported crude oil and refined petroleum products as the government aims to raise more funds to address the COVID-19 crisis.

Duterte said the additional duty, which is on top of the existing Most Favored Nation and preferential import duties, was only temporary, according to his Executive Order 113 signed on May 2.

Among those covered by the order are petroleum oils and oils obtained from bituminous minerals and crude; petroleum gases and other gaseous hydrocarbons; and waste oils.

The President directed the Department of Budget and Management (DBM) to study, propose, and take measures to ensure that the proceeds derived from the additional import duty shall be used for the government’s COVID-19 response, including social amelioration programs and other forms of assistance for all those affected.

The modified rates of import duty shall immediately revert to zero percent as international oil prices increase provided that there will be a certification by the Department of Energy (DOE) and notification sent to the Department of Finance (DOF).

The DOF recently said that the cost of the government’s socioeconomic strategy against COVID-19 was around P1.49 trillion.—AOL, GMA News