The nation’s two refiners yesterday said they would cut gasoline and diesel prices by NT$0.3 per liter this week, the eighth straight weekly cut, after Saudi Arabia’s production increase and the lingering concerns over the eurozone’s debt problems drove world prices down last week. The new rates come into effect today.
A rise in US oil inventories and worries about an unsteady global economic recovery also dampened market sentiment last week, Formosa Petrochemical Corp (台塑石化) said in a statement.
Based on CPC Corp, Taiwan’s (CPC, 台灣中油) pricing mechanism, its average oil cost fell US$2.78 per barrel to US$105.28 per barrel last week from the previous week.
Both CPC and Formosa have cut gas prices by NT$1.8 per liter over the past six weeks, after the government announced increases of between 7 and 11 percent for petroleum-based fuel products on April 1.