Marcos Ready to Slash Oil Excise Tax If Crude Hits $80 — Here's What That Means for You
President Ferdinand Marcos Jr. is preparing to ask Congress for emergency authority to cut excise taxes on petroleum products if Dubai crude oil prices breach the $80-per-barrel mark. With the Middle East conflict pushing prices up from $63 per barrel in late 2025 to the $76-$78 range now, this isn't just theoretical — it could happen soon.
Finance Secretary Frederick Go stressed that the move is precautionary — hindi automatic na bababa ang tax kapag tumaas ang presyo. 'Even if it exceeds $80 per barrel, that doesn't mean we react right away,' Go said, noting the price increase would need to be sustained before any action is taken.
Under the TRAIN Law, excise taxes on fuel are automatically suspended if global oil averages $80 per barrel for three straight months. But Marcos wants the flexibility to act faster if needed, making this a 'ready policy tool' rather than waiting for the mandatory trigger.
The President also reassured the public that the country has enough oil stockpiles — about 50 to 60 days' worth of supply across diesel, gasoline, fuel oil, kerosene, jet fuel, and LPG. He noted that oil shocks take time to filter through the system to consumer prices, and the government is hopeful the Middle East situation resolves before that happens.
On top of the tax measure, Marcos outlined other interventions: fuel subsidies for transportation and agriculture, possible no-fare bus rides along major routes, and holding transport fares steady. With global uncertainty still high, Filipino commuters and motorists will be watching crude oil prices closely in the coming weeks.
Source: The Manila Times
