China to cut retail fuel prices from Tuesday

BEIJING -- China will lower the retail prices of gasoline and diesel from Tuesday, the country's top economic planner said Monday.

Based on recent changes in international oil prices, the retail prices of gasoline and diesel will be lowered by 100 yuan (about $15.44) and 95 yuan per metric ton, respectively, according to the National Development and Reform Commission (NDRC).

The adjustment is the first cut in nearly four months.

Under the current pricing mechanism, if international crude oil prices change by more than 50 yuan per ton and remain at that level for 10 working days, the prices of refined oil products such as gasoline and diesel in China will be adjusted accordingly.

In the current round of adjustment, global crude oil prices have seen drastic fluctuations. According to the NDRC price-monitoring center, international oil prices may rise in the short term, bearing in mind the likely increase in demand within developed countries and rate at which the Organization of the Petroleum Exporting Countries plans to increase supply.

China's three biggest oil companies, namely China National Petroleum Corporation, China Petrochemical Corporation and China National Offshore Oil Corporation, have been asked to maintain oil production and facilitate transportation to ensure stable supplies.