China's National Development and Reform Commission (NDRC) has decided to raise the ex-factory prices of gasoline and diesel oil by 200 yuan and 150 yuan per ton respectively. The same amount will be added to the benchmark retail prices for gasoline and diesel accordingly. At the same time, the ex-factory price of aviation kerosene will be raised by 300 yuan a ton.

Official with the NDRC said, a hike of international oil prices was seen again recently: on June 20, the WTI crude oil price amounted to a fresh record of US$59.37.

Currently, the price of refined oil in domestic China is not only far lower than on the international markets, but lags far behind the purchasing price of crude oil. The NDRC made the decision just in order to promote domestic production of refined oil so as to ensure the supply in the country.

In response to the changes of international oil prices, the NDRC raised the ex-factory price of gasoline by 300 yuan a ton on March 23, 2005, and that of diesel oil by 150 yuan per ton on March 10. It cut the ex-factory price of gasoline by 150 yuan per ton from 24:00 May 23.

By People's Daily Online