Philippines Ends Kerosene and LPG Tax Breaks on July 8 After Oil Prices Fall Below $80 per Barrel

According to the Bureau of Internal Revenue, the temporary excise tax suspension on kerosene and liquefied petroleum gas (LPG) ends on July 8, after Dubai crude oil prices fell below the government's $80-per-barrel trigger. The Department of Energy (DOE) certified that the one-month average Dubai crude price from June 1 to 30 stood at $79.45 per barrel, initiating an automatic termination clause under Executive Order No. 114.

During the suspension, consumers received direct savings of approximately P5.65 per liter of kerosene and almost P37 for an LPG tank. The resumption of excise taxes is expected to put upward pressure on kerosene and LPG prices, though market prices depend on multiple factors including international crude costs, exchange rates, and import expenses.