KUALA LUMPUR – Brent crude oil surpassed USD100 per barrel on 21 September 2026, trading between USD 106 and USD 107 per barrel amid severe global supply constraints and rising geopolitical disruptions in energy delivery channels. While government fuel subsidies continue to protect domestic consumer inflation in Malaysia, economic observers point to a growing policy divergence as the local Producer Price Index (PPI) rises sharply, driven by increased costs for coke, refined petroleum products, and raw industrial inputs. Manufacturing plants and heavy industrial facilities across the processing sector are being forced to endure acute energy input inflation, drastically reducing corporate operating margins. For energy-intensive manufacturing businesses wishing to hedge against unpredictable petroleum surcharges, converting boiler operations to locally recovered alternative thermal fuels like Re-refined Base Oil (RRBO) offers a price-stabilised, cost-effective solution.
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(Source: New Straits Times)