China will continue to limit the increase in fuel prices by almost half as of midnight, extending the measures announced in March to try to mitigate the impact of the rise in oil prices.
As indicated today in a statement by the National Development and Reform Commission (CNDR, the country’s main economic planning body), gasoline prices will rise by 420 yuan (52.95 euros) per ton, when they should rise by 800 yuan (100.86 euros), in the wake of “considerable” fluctuations in the market.
The price of diesel will rise by 400 yuan (50.43 euros) per ton, instead of the 770 yuan (97.07 euros) in the standard calculation.
“To mitigate the impact of rising international crude oil prices on the national market, the Government continues to apply control measures on the prices of petroleum derivatives”, indicates the institution on its portal.
On March 23, the CNRD announced that it would limit the increases to 1,160 and 1,115 yuan (146.24 and 140.57 euros) for gasoline and diesel, instead of the 2,205 and 2,120 yuan (277.99 and 267.27 euros) it would have to apply in relation to the oil price scale.
In today’s statement, the head of economic planning demands that large state-owned oil companies “organize the production and transportation” of refined products to “guarantee stable supply” and urges them to “strictly apply” the aforementioned price controls.
The statement warns of “severe penalties” against anyone who violates these measures and asks all authorities in the country to “strengthen market supervision and inspection”.
Faced with the “de facto” blockage of the Strait of Hormuz, through which 45% of the oil it imports passes, China recorded one of the biggest recent increases in fuel prices, which led regulators to intervene to limit its impact on citizens.
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