China’s retail gasoline prices have soared to levels not seen since at least 2006, while diesel prices surged to a decade high after global oil prices surged after Russia’s invasion of Ukraine.
Starting Friday, retail gasoline prices will rise by 750 yuan ($118) per tonne, and diesel prices by 720 yuan a tonne, the National Development and Reform Commission said.
These are the biggest increases since the current pricing mechanism was introduced in 2013.
Beijing, for example, will see gasoline prices jump to 10,770 yuan per ton and diesel prices soar to 9,695 yuan per ton.
Local authorities set different prices, although they all implement the increase.
Under China’s pricing system, retail fuel prices are assessed every ten business days to reflect global crude oil benchmarks, as long as benchmark prices move between $40 and $130.
Outside this range, retail prices do not change or only move marginally.
Brent prices peaked at $139.13 a barrel on March 7, but have since declined, trading at $104 on Thursday.
This compares to levels of around 99 before the February 24 invasion of Ukraine.
Rising prices have led China’s independent refiners to cut production.
Source: CNN Brasil
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