The Philippine Competition Commission (PCC) has cleared the proposed acquisition by Aramco Asia Singapore Pte. Ltd. (Aramco) of a 25% interest each in Unioil Petroleum Philippines, Inc. and Unioil Energy Pte. Ltd.

Aramco, a wholly-owned affiliate of the Saudi Arabian Oil Company, serves as its Asia hub for sales, marketing, procurement, logistics, and other support services. Unioil Petroleum is engaged in the sale of petroleum products in the Philippines such as diesel, gasoline, asphalt, coolants, and lubricants. Unioil Energy, on the other hand, is a foreign trading company supplying gasoline and diesel to the Philippine market.

The PCC’s Mergers and Acquisitions Office (MAO) launched a Phase 1 review of the transaction on June 13, 2025, to assess its impact on competition. The review covered several relevant markets, including the nationwide non-retail supply of automotive and industrial lubricants and coolants, the global ex-refinery and non-retail supply of diesel and gasoline, and the nationwide supply of ethanol as an input for gasoline.

After assessing submissions from the parties and third-party feedback, the PCC found that the deal would not likely lead to a substantial lessening of competition (SLC). It cited the parties’ limited market shares, the presence of established competitors, and the likelihood of timely entry by new players given low barriers to entry.

Under the Philippine Competition Act, the PCC is mandated to review mergers and acquisitions, including foreign transactions that meet notification thresholds, to ensure they do not harm competition or consumers.

How can regulators like the PCC continue to balance attracting foreign investments with protecting fair competition in the Philippine market?

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