CPC to cut prices of gasoline, diesel, by NT$0.3 a liter

By Lisa Wang  /  Staff reporter

Mon, Jul 11, 2016 - Page 16

State-run oil refiner CPC Corp, Taiwan (CPC, 台灣中油) yesterday said it would cut gasoline and diesel prices by NT$0.3 per liter, to reflect a fall in global crude oil prices over fears of imminent oversupply due to the wobbling European economy.

Worries that the UK’s vote to exit the EU could stem growth across Europe — which would lead to lower crude oil consumption — brought down global crude oil prices, CPC said in a statement on its Web site.

In addition, US commercial crude oil inventories fell at a slower-than-expected rate of 2.2 million barrels in the week to July 1, which added to fears of a glut, the statement said.

Global crude oil prices declined US$1.09 — or 2.37 percent — to US$44.94 per barrel last week, compared with US$46.03 in the previous week, according to CPC’s pricing information.

Domestic fuel prices should drop 2.04 percent after factoring in the New Taiwan dollar’s appreciation of NT$0.062 against the US dollar last week — which reduced import costs — CPC said.

The nation’s sole private oil refiner, Formosa Petrochemical Corp, (台塑石化) on Saturday said that it would lower gasoline and diesel prices by NT$0.3 per liter.