China raises retail fuel prices

BEIJING -- China will raise the retail prices of gasoline and diesel starting Friday, the ninth increase this year, the country's top economic planner announced Thursday.

As international oil prices have increased, the retail prices of gasoline and diesel will both rise by 150 yuan (about $22.66)per ton, according to the National Development and Reform Commission (NDRC).

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 are adjusted accordingly.

The NDRC has asked major Chinese oil companies, including China National Petroleum, China Petrochemical and China National Offshore Oil, to ensure stable market pricing.

Global crude prices saw sharp increases in the past weeks. Brent crude futures, the international standard, smashed through $60 per barrel on Oct 27 and has hovered around the mark since.

The NDRC said in a report that expectations of extended production cuts, rising tensions in the Middle East and falling global stocks have combined to push up prices.

The economic planner said it would closely monitor the effects of the current pricing mechanism and make changes in response to global fluctuations.