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China to raise fuel consumption tax, cut retail prices
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CHINA will raise taxes on oil products from Saturday, the second increase in a month.
Tax on gasoline, naphtha, solvent oil and lubricating oil to will rise to 1.4 yuan (about 23 U.S. cents) per liter from 1.12 yuan. The levy on diesel, jet fuel and fuel oil will be increased from 0.94 yuan per liter to 1.1 yuan, according to the Ministry of Finance and the State Administration of Taxation.
Retail prices of gasoline and diesel will be reduced by 170 yuan and 400 yuan per tonne after adding the higher tax, the National Development and Reform Commission announced in a separate statement.
Retail fuel prices have been cut for ten times since July as the government reacts to lower crude prices on the global market.
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