China raises retail fuel prices

BEIJING - China will raise the retail prices of gasoline and diesel from Saturday, the sixth increase this year, announced the country's top economic planner on Friday.

As international oil prices increased, the retail prices of gasoline and diesel will rise by 175 yuan (about $26) and 165 yuan per ton, respectively, 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 will be adjusted accordingly.

On the global market, oil prices are back above $50 per barrel as Saudi Arabia and Russia, the world's two largest crude oil producers, expected to further limit oil production.

From late June to Aug 1, the futures contract on Brent crude, the standard for international oil prices, saw a 15.5 percent price increase.

The NDRC called on major Chinese oil companies, including China National Petroleum Corp, China Petrochemical Corp. and China National Offshore Oil Corp, to ensure stable supplies to the market.

The economic planner said it will closely monitor the effects of the current pricing mechanism and improve the method in response to changes in the global market.