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China cuts retail fuel prices

Xinhua | Updated: 2017-06-24 13:25

BEIJING - China will cut the retail prices of gasoline and diesel for the sixth time this year from Saturday following a drop in global oil prices, the country's top economic planner said Friday.

Gas price will decrease by 250 yuan (about $36.76) per ton, while the diesel price will be lowered by 240 yuan per ton, according to the National Development and Reform Commission (NDRC).

China adjusts domestic retail oil prices when international crude prices change by more than 50 yuan per ton within a 10 working-day period.

Global crude prices have fallen in recent weeks after major oil producing countries such as the United States, Liberia and Nigeria increased output, while US oil consumption remained sluggish. The production glut will continue next year.

The NDRC does not expect a consistent drop in global crude prices due to the likelihood that OPEC will step in to cut output to stem price declines.

Unstable situations in Liberia and Nigeria will also bring uncertainties to global oil output.

The NDRC said it was closely monitoring the current pricing mechanism and would continue improvements based on market changes.

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