CHICAGO/MANILA — Global crude oil prices surged past $100 per barrel, the highest level in years, as the ongoing conflict involving Iran has hindered oil production and disrupted shipping routes in the Middle East, pushing international benchmarks sharply higher. The rise in global oil costs is now filtering down to local pump prices in the Philippines, where motorists are already feeling the impact.
On the Chicago Mercantile Exchange, Brent crude, the international price standard, climbed to around $101.19 per barrel, while West Texas Intermediate (WTI), the U.S. benchmark, reached about $107.06 per barrel, reflecting heightened market volatility driven by geopolitical risk and concerns over supply constraints. This marks the first sustained breach of the $100‑a‑barrel threshold in more than three and a half years. Analysts warn that prices could remain volatile as trading continues.
The spike in oil prices has global repercussions: an estimated 20 percent of the world’s crude typically transits the Strait of Hormuz daily — a key energy corridor bordering Iran — before the current conflict sharply curtailed tanker movements and export capacity. Production cuts by countries such as Iraq, Kuwait and the United Arab Emirates, coupled with recent attacks on oil infrastructure in the region, have exacerbated supply concerns and contributed to price pressures.
The Philippines, a net importer of oil and heavily dependent on imported fuel, has experienced a series of notable pump price increases in recent weeks amid these global dynamics. According to local industry price trackers, as of March 8, 2026, prevailing retail prices in Metro Manila ranged around ₱62.55 per liter for gasoline and approximately ₱56.74 per liter for diesel, though figures vary by station and fuel grade. Premium gasoline (RON 100) was averaging near ₱67.99 per liter, while higher‑grade diesel products were selling at slightly elevated rates.
Local energy officials have signaled that a significant fuel price hike may be imminent. Forecasts from the Department of Energy’s Oil Industry Management Bureau suggest possible increases of up to ₱19 per liter for diesel and ₱9 per liter for gasoline in the coming week as markets react to sustained crude cost pressures. These projected adjustments could push diesel toward ₱90 per liter territory and gasoline toward the ₱80 range in some regions should oil benchmarks remain elevated.
The continuous climb in global energy prices has broader economic implications beyond cost at the pump. Higher fuel costs can contribute to inflationary pressures, raising transportation and logistics expenses, and potentially squeezing household budgets. Local consumers and businesses alike are bracing for further price movements as market conditions evolve.
Economic policymakers in the Philippines are monitoring the situation and considering possible measures to mitigate the impact on consumers, including discussions about fuel subsidies and regulatory interventions to manage volatility, though no formal decisions have been announced.
With crude oil now trading well above the $100 threshold and geopolitical tensions intensifying, analysts caution that global markets and domestic fuel prices may remain under upward pressure in the weeks ahead as supply concerns continue to mount.
Edgardo Hernal started college at UP Diliman and received his BA in Economics from San Sebastian College, Manila, and Masters in Information Systems Management from Keller Graduate School of Management of DeVry University in Oak Brook, IL. He has 25 years of copy editing and management experience at Thomson West, a subsidiary of Thomson Reuters.
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