Petron seeks elimination of tariff on crude oil

Oil refiner Petron Corp. has petitioned the Philippine government to eliminate tariffs on crude oil, the Tariff Commission said. Should the petition be granted, it would cure a looming tariff distortion because duties on finished products sourced from Southeast Asia are set to drop to zero next year. Petron will be disadvantaged as it will still have to pay a 3% tariff on the crude oil it imports from the Middle East, while importers of finished petroleum products from Southeast Asia will enjoy zero tariffs. Other petitions to be taken up at the hearing scheduled on November 4 include one from the Ethanol Producers Association of the Philippines, calling for a 20% duty on competing imports of anhydrous ethanol. (October 30, 2009)