China cuts retail fuel prices

PetroChina employees conduct daily inspections on equipment at a facility in Puyang, Henan province. (Photo: China Daily)

BEIJING, May 13 (Xinhua) -- China will cut the retail prices of gasoline and diesel starting Tuesday, the country's top economic planner said Monday.

Based on changes in international oil prices, the retail prices of gasoline and diesel will be cut by 75 yuan (about $11) per tonne, 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 tonne 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.

The NDRC also demanded that major oil companies, including China National Petroleum Corporation, China Petrochemical Corporation and China National Offshore Oil Corporation, should work to ensure a stable supply and implement the pricing policy.

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