ASIATODAY.ID, BRASILIA — Crude oil prices in the Asia-Pacific region surged significantly in June 2025. The Indonesian Ministry of Energy and Mineral Resources (ESDM) has set the Indonesian Crude Price (ICP) for June 2025 at USD 69.33 per barrel, marking a sharp increase from USD 62.75 per barrel in May 2025.
The updated price is stated in Ministerial Decree No. 229.K/MG.03/MEM.M/2025, issued on July 3, 2025, regarding Indonesia’s crude oil pricing for the month of June.
The spike in Indonesia’s ICP and global crude prices was primarily driven by escalating geopolitical tensions in the Middle East, including military confrontations involving the United States, Iran, and Israel. Iran’s threat to block the strategic Strait of Hormuz has raised fears over global oil supply disruptions.
“Geopolitical turmoil in the Middle East has triggered speculative activity and bullish sentiment in futures markets, as buyers move to secure oil amid fears of further price hikes,” said Acting Director General of Oil and Gas, Tri Winarno, speaking from Brasília, Brazil, on Thursday, July 10, 2025.
According to the June 2025 OPEC report, global oil demand projections for Q3 and full-year 2025 were revised upward by 0.14 million barrels per day, driven in part by increased consumption in the United States during the summer driving season.
Additionally, the weakened U.S. dollar in June 2025 attracted global investors to oil and other commodities, further bolstering demand.
“A softer dollar prompted more inflows into oil markets as investors sought commodity hedges, pushing prices higher,” Tri added.
A temporary trade agreement between the United States and China—effective from May 14 to August 14, 2025—to significantly lower import tariffs also injected positive sentiment into global markets, supporting the rise in crude prices.
Surging Asia-Pacific Demand and Aramco’s OSP Hike
In the Asia-Pacific region, higher crude prices were also fueled by rising demand from China and India, alongside Saudi Aramco’s decision to raise its Official Selling Price (OSP) for exports to Asia in June 2025. The increase reflects strong refining margins across regional markets.
Breakdown of Key Crude Oil Price Increases (June vs. May 2025):
- Dated Brent rose by USD 7.24 to USD 71.46/bbl
- WTI (Nymex) rose by USD 6.39 to USD 67.33/bbl
- Brent (ICE) rose by USD 5.79 to USD 69.80/bbl
- OPEC Basket rose by USD 6.18 to USD 69.80/bbl
- Indonesia’s ICP rose by USD 6.58 to USD 69.33/bbl. (AT Network)
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