China raises retail fuel prices

With US crude oil hovering around 80 US dollars a barrel, China's economic regulator has announced it raised retail petrol and diesel prices. Both increased by 480 yuan per ton.

The National Development and Reform Commission's said it raised domestic petrol and diesel prices on Tuesday. Prices have been adjusted eight times this year in China. This includes five price-hikes and three price-cuts.

In total, petrol's price has increased by about 15-hundred yuan per ton. Diesel has increased about 14-hundred yuan per ton. The margin has been 27 percent so far this year.

Chinese motorists have adapted to the price adjustments. There are no longer long queues at petrol stations in Beijing.

One motorist of Beijing said "We have the market economy. The price adjustments should take place as they are needed. There should be upward adjustments and there should also be price cuts. Prices should not always increase."

Kerosene is poised to follow suit with petrol and diesel. Its factory price is set to increase on Tuesday. The price of the number three kerosene will climb 6 percent from 49-hundred yuan to 52-hundred yuan per ton.

Impact:

NDRC to ease negative impact of fuel price hike

China's top economic planner says the government will take measures to ease the negative impact the fuel price hike will have on transportation, taxies, among other public sectors. Full story >>

Insights:

Expert: Fuel price rise not to affect other prices

Background:

Review: China's oil price adjustment in 2009