Rising domestic stockpiles and declining international prices have caused China's diesel prices to drop sharply.
The Market Daily reported yesterday that average prices for diesel had fallen to below 2,600 yuan (about HK$2,412) a tonne after international prices began to slump in January. It did not give direct comparative figures.
In some parts of the country, shortages had driven diesel prices as high as 4,000 yuan a tonne before imports increased late last year. Prices later stabilised at about 2,900 yuan after refineries stepped up production.
Diesel prices in Guangdong province dropped to about 2,200 yuan a tonne from 2,800 yuan at the end of last year, while in central China they slid to 2,300 yuan.
In Sichuan province, diesel prices had fallen 314 yuan since the end of last year.
The newspaper attributed the drop in prices to a glut caused by huge imports and rising domestic output.
