Malaysia Optimistic on PHL Tourism Market Despite Fuel Surcharge Rise

Malaysia remains optimistic about the Philippines as a key tourism source market despite higher fuel surcharges that could raise travel costs for Filipino visitors, according to a Malaysian diplomat. “For the Philippines, I think last year we touched almost 500,000. Of course, we’re looking to increase it,” Malaysian Ambassador Abdul Malik Melvin Castelino Anthony told reporters in an interview. “I’m happy to see that Malaysia and the Philippines and, of course, the other ASEAN countries are working hard to increase tourist arrivals from our countries to each other, and from global arrivals,” he added. The Civil Aeronautics Board (CAB) recently bumped the airline fuel surcharge to Level 14 from Level 13 for the second half of September 2026 as renewed volatility in the Middle East keeps pressure on global oil markets. Under Level 14, airlines may collect an additional P457 to P1,336 per passenger for domestic flights, while the international flight surcharge ranges from P1,509.08 to P11,220.71. “We have no choice because this is something that is beyond our control,” Mr. Anthony said. “It is basically, you know, on market forces. What we can do, I think, is try to mitigate as much as possible the effect of it.” “I think the government of the Philippines and Malaysia are doing as much as we can to ensure that the prices remain at a certain level that will not impede trade and development,” he added. Data from the International Air Transport Association showed that jet fuel prices rose 6.1% to $181.46 per barrel in the week ending Sept. 11, up from $171.01 per barrel a week earlier. In June, Malaysia recorded a 1.13% year-on-year increase in inbound arrivals from the Philippines, with 299,633 Filipino tourists from 296,298 previously. About 59 flights weekly between the countries offer more than 11,615 seats, as per Tourism Malaysia. The flights connect Kuala Lumpur, Kota Kinabalu, and other Malaysian destinations with key destinations in the Philippines, such as Manila and Cebu. “We look forward to having more travelers from Malaysia coming to the Philippines and vice versa,” the ambassador said. Malaysia ranked as the country’s 12th source market in 2025, accounting for 104,989 inbound tourists, or 1.62% of the overall arrival count. — Almira Louise S. Martinez