China Raises Oil Product Prices By 8%

SHANGHAI - November 1, 2007:

Oil product prices in China will rise by 8 percent or 500 yuan ($68) per ton starting today, China’s economic regulatory body, National Development and Reform Commission announced on its official web site this morning.

The price hike is made to reduce the widening gap between soaring global crude prices and China’s domestic oil product prices, NDRC said in the announcement.

As a result, Chinese car consumers will have to additional pay 0.4 yuan ($0.054) per liter on gasoline or 0.46 yuan ($0.062) on diesel. The price hike will lift the monthly consumer price index (CPI) by 0.05 percentage point, NDRC said.

The cost of rail cargo and air travel will also be driven higher, but rail and public transport fares will remain unchanged.

For more information about the burgeoning auto industry in China please visit http://www.gasgoo.com/Autobiz/list/7/China-News.html