Oil prices to go down first week of 2026

MANILA, January 3 ------ Oil prices are set to go down next week based on three-day trade monitoring in the Mean of Platts Singapore, the Department of Energy said.

DOE Oil Industry Management Bureau Assistant Director Rodela Romero said the following price cuts may be expected next week:

Gasoline - P0.50 per liter

Diesel - P0.15 per liter

Kerosene - P0.20 per liter

Romero said the decreases are not likely to widen as the costs of businesses are still excluded. "Mukhang hindi lalaki kasi wala pa dito 'yung oil company operating cost and other premium. Kaya minsan, nababaliktad pa 'yung pangyayari lalo na yung P0.15 at P0.20," she said.

She explained that geopolitical rifts, including the United States-led Russia-Ukraine peace deal, and the ongoing tension in the Middle East are pressuring prices to go up. Meanwhile, prices are pulled by the oversupply in the global market, as well as the increase in US inventory. Major consumer countries like China also exhibited less demand, said Romero.

The Organization of the Petroleum Exporting Countries and its allies (OPEC+) countries’ policy to widen their market share, instead of increasing the oil prices, also contributed to the global market price. Romero explained the oil prices usually follow the fundamental rule of supply and demand, but could be distorted by geopolitical conflicts. “Talagang volatile, although sinabi ng analyst nitong early part ng 2026, dahil maraming supply, mahina ang demand, so may chance na bumaba ang presyo,” she said.

2025 NET INCREASES

As 2025 wrapped two days ago, the DOE reported the following net increases:

Gasoline – P20.50 per liter

Diesel – P20.85 per liter

Kerosene – P5.55 per liter

LPG, meanwhile, recorded a net decrease of P7.20.

Source: news.abs-cbn.com