P7 gas, P15 diesel price hikes seen next week

Big-time pump price hikes are expected in the coming week as the armed conflict in the Middle East among the United States, Israel, and Iran continues to escalate.

Based on the first three days of trading of the week, oil industry sources expect prices per liter of gasoline to be hiked by P7.09, and diesel by P15.33, as reported on GMA News’ “Balitanghali.”
 

Official price adjustments are announced every Monday of the week, and take effect the following day.

According to Jetti Petroleum president Leo Bellas, the potential hefty price increases are due to the escalating US-Israeli conflict with Iran, the impact of crude shortages on Mean of Platts Singapore (MOPS), expectations of more refining run cuts, and the diruption of Middle East crude oil.

“Boosting sentiment is the growing worries about how long shipping channels from the Middle East will remain clogged, especially as storage tanks across the Middle East are rapidly filling up, forcing producers to cut output if they can’t resume exports soon,” he said in a separate message.

The Department of Energy (DOE) on Wednesday said pump prices could be hiked further due to global developments such as the closure of the Strait of Hormuz, a key global shipping corridor. The agency said it will appeal to firms to stagger the implementation of hikes starting next week.

Pump prices were already increased by P1.90 per liter for gasoline, P1.20 per liter for diesel, and P1.50 per liter for kerosene on Tuesday, March 3, 2026.

The government is set to provide fuel subsidies for public transport operators, farmers, and fisherfolk, and offer free bus rides to mitigate the impact of the higher prices.

President Ferdinand “Bongbong” Marcos Jr. also earlier said he is considering temporarily reducing or suspending excise taxes on fuel to cushion the impact of rising prices. The DOF has yet to release estimates on the possible foregone revenues.

Tensions in the Middle East heightened over the weekend, as US-Israeli airstrikes killed Iranian Supreme Leader Ayatollah Ali Khamenei, which American President Donald Trump celebrated. Iranian state media later confirmed the death.

Trump has stated that combat operations in Iran would continue until all objectives are achieved, confirming that three US service members were killed and that there would likely be more casualties. —Jon Viktor D. Cabuenas/ VAL/BAP, GMA Integrated News