Malacañang has been urged to temporarily suspend the excise tax on fuel products even before global oil prices hit the USD 80-per-barrel threshold, to help prevent a further spike in the cost of goods and to support domestic businesses, particularly micro, small, and medium enterprises (MSMEs).
The recommendation came from Bryan L. Ang, vice-president of the Philippine Chamber of Commerce and Industry and chairman of the committee on trade facilitation, who said escalating tensions from U.S.-Israel strikes against Iran will likely drive up crude oil prices in the international market. The Philippines is an oil-importing country, sourcing all of its products from the Middle East.
“My recommendation is: don’t wait for PHP 80 per barrel. Temporarily remove the excise tax. Don’t wait for PHP 80,” Ang said.
Under the TRAIN law, the excise tax on petroleum products is automatically suspended if the average global oil price reaches USD 80 per barrel.
“Remove the excise tax, but only temporarily. It’s not permanent—just for as long as there’s war, as long as the Strait of Hormuz is closed,” he added. Estimates show that 20 percent of wor
Ang also urged the government to diversify its oil sourcing strategy instead of relying solely on the Middle East, citing Canada as a potential alternative source.
He further remarked that U.S. President Donald Trump “does not care about oil prices because he ‘got a lot of oil in Venezuela.’ Will he give it to us?”
Ang warned that if crude oil prices surge uncontrollably, consumers will be the first to feel the impact through higher basic goods prices, and among businesses, MSMEs are likely to be the hardest hit.
While Trump has said that his war against Iran will be over in four weeks, Ang said, the oil prices have already started to go up and will soon impact on consumers.
