China to cut benchmark retail fuel prices

China will slash the gasoline benchmark retail price by 420 yuan (66.46 U.S. dollars) a tonne and diesel by 400 yuan per tonne from Wednesday, the country’s top economic planner announced Tuesday.

The cuts, equivalent to 0.31 yuan per liter and 0.34 yuan per liter, respectively, was the third time in two months as crude oil costs continued falling after China’s last fuel price cuts in June.

The move was in response to lower international crude prices and changes in the “conditions of domestic and international economies as well as the domestic refined oil market,” the National Development and Reform Commission said in a statement on its website.

Under China’s oil product pricing system, introduced in 2009, domestic fuel prices may be adjusted when international crude oil prices change by more than 4 percent over a period of 22 working days.

Xinhua