Its top 10 crude oil suppliers shipped US$3.5 billion worth of unprocessed petroleum to the Philippines during 2017. That dollar amount represents a massive -47.2% decline from the $6.6 billion worth of crude oil imported by the Philippines during 2013.
Among continents, Middle Eastern countries accounted for the highest dollar value worth of Filipino imported crude oil furnished in 2017 given that Philippines-bound shipments were valuated at $2.9 billion or 83.5% of total Filipino import purchases.
Collectively, fellow Asian nations South Korea ($212.4 million), Malaysia ($119.6 million), China ($77.4 million) and Japan ($28.9 million) represent another 12.6% of Philippines’ imported crude oil.
The 4-digit Harmonized Tariff System code prefix is 2709 for crude petroleum oil.
Top 10 Crude Oil Suppliers to the Philippines
Below are the 10 countries that supplied 98.2% of unprocessed petroleum oil imported into the Philippines during 2017.
- Saudi Arabia: US$1.1 billion (30.3% of total crude oil imports)
- Kuwait: $1 billion (29%)
- United Arab Emirates: $608.6 million (17.4%)
- South Korea: $212.4 million (6.1%)
- Qatar: $208.1 million (6%)
- Malaysia: $119.6 million (3.4%)
- China: $77.4 million (2.2%)
- Russia: $53.1 million (1.5%)
- Australia: $48.1 million (1.4%)
- Brunei Darussalam: $33 million (0.9%)
Three Mideast countries were responsible for over three-quarters (76.7%) of all crude oil imports purchased by the Philippines in 2017 namely Saudi Arabia, Kuwait and the United Arab Emirates.
Only South Korea (up 16.1%) and Malaysia (up 0.8%) grew the value of its exported crude oil sales to the Philippines from 2013 to 2017.
The Philippines posted the highest positive net exports for crude oil during 2017 with three trade partners.
Investopedia defines net exports as the value of a country’s total exports minus the value of its total imports. Thus, the statistics below present the surplus that the Philippines earned. In other words, the difference between the value of Filipino crude oil exports and its import purchases for that same commodity.
- Thailand: US$91.9 million (net export surplus for crude oil)
- Singapore: $9 million
- Vietnam: $9 million
Thailand is a profitable trade partner for the Philippines to the extent that the Asian country propelled the Philippines to its highest surplus win for unprocessed petroleum. This positive cashflow confirms the Philippines’ competitive advantage for this specific product category versus Thailand–as it does for the other two other listed trade partners albeit for significantly lower dollar amounts.
The Philippines experienced the highest negative net exports for crude oil trading with the following 10 countries during 2017. The statistics below present the deficit between the value of imported crude oil purchases into the Philippines and Filipino exports for that same commodity.
- Saudi Arabia: -US$1.1 billion (net export deficit down -61.6% since 2013)
- Kuwait: -$1 billion (no 2013 data)
- United Arab Emirates: -$608.6 million (down -34.3%)
- Qatar: -$208.1 million (down -78.7%)
- South Korea: -$126.5 million (reversing a $536.7 million surplus)
- Malaysia: -$119.6 million (up 0.8%)
- China: -$77.4 million (reversing a $41.9 million surplus)
- Russia: -$53.1 million (down -95.6%)
- Australia: -$48.1 million (no 2013 data)
- Brunei Darussalam: -$33 million (no 2013 data)
Saudi Arabia are the greatest money-losing suppliers from the perspective of the Philippines giving it the highest deficit in the global trade of crude oil. In turn, this negative cashflow highlights the competitive disadvantages the Philippines have for this specific product category versus Saudi, Kuwait and the other listed unprocessed petroleum suppliers. However, it also signals opportunities for crude oil-supplying countries that help satisfy the powerful demand needed to help the Filipino economy continue to grow.
The World Factbook, Field Listing: Exports – Commodities, Central Intelligence Agency. Accessed on January 29, 2019
Trade Map, International Trade Centre. Accessed on January 29, 2019
Investopedia, Net Exports Definition. Accessed on January 29, 2019
Wikipedia, Petroleum. Accessed on January 29, 2019