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China cuts retail fuel prices

Xinhua | Updated: 2018-08-21 13:04
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Employees of China National Petroleum Corp conduct drilling operations at an oil well in Guangyuan, Sichuan province. [Photo by Hu Qingming/for China Daily]

BEIJING - China will reduce the retail prices of gasoline and diesel from Tuesday, the country's top economic planner announced Monday.

Based on changes in international oil prices, the retail prices of gasoline and diesel will be cut by 50 yuan ($7.3) per ton, according to the National Development and Reform Commission (NDRC).

Under the current pricing mechanism, if international crude oil prices change by more than 50 yuan per tonne and remain at that level for 10 working days, the prices of refined oil products such as gasoline and diesel in China are adjusted accordingly.

International oil prices have fallen due to abundant supply, a stronger dollar and expectations of milder demand growth, according to the NDRC price monitoring center.

It predicts that global oil prices will continue to be volatile in the short term.

The NDRC has asked major Chinese oil companies, including China National Petroleum, China Petrochemical, and China National Offshore Oil, to ensure stable supply and implement the pricing policy.

The economic planner said it would closely monitor the effects of the current pricing mechanism and make improvements in response to global fluctuations.

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