Global oil prices climbed to $110 per barrel as ‘Israeli’ strikes on Iran during the Persian New Year intensified instability in the region, pushing the ongoing conflict into its third week. The escalation has damaged key energy infrastructure, while the strategic Strait of Hormuz, one of the world’s most critical oil transit routes, remains effectively shut, triggering fears of prolonged supply disruptions.
The impact is already being felt in consumer markets, particularly in the United States, where gas prices rose by another three cents per gallon, reaching their highest average level since October 2022. Analysts warn that continued attacks on energy facilities and shipping routes could drive prices even higher in the coming weeks.
The global ripple effects have been especially severe in import-dependent countries such as the Philippines, where soaring fuel costs have fueled widespread public discontent. On Thursday, transport groups launched a nationwide strike protesting the sharp rise in oil prices, with demonstrations taking place across 15 to 20 protest centers in Metro Manila and several major provinces.
Protesters are demanding the immediate rollback of oil prices, the removal of excise and value-added taxes on petroleum products, expanded subsidies for affected sectors, and the implementation of a living wage. The strike highlights the deepening economic strain on workers and small transport operators, who are among the hardest hit by rising fuel costs.
As tensions in the Middle East continue to drive volatility in global energy markets, countries heavily reliant on imported crude oil face mounting pressure, with growing calls for government intervention to shield vulnerable sectors from the cascading effects of the crisis.
In Sri Lanka, where petroleum accounts for about a quarter of total imports, authorities introduced fuel rationing and cut back public events to conserve supplies. Schools shifted to a four-day week, while public sector operations were scaled down.
In Pakistan, fuel and grocery prices surged overnight, with long queues reported at petrol stations. Authorities implemented conservation measures including a four-day work week, school closures, and expanded work-from-home policies.
Crisis-struck Myanmar is also facing acute pressures. Fuel shortages have led to strict rationing, disrupting transport, businesses, and humanitarian operations.
