China has dialled back on planned fuel price hikes in a bid to reduce the burden on drivers, as energy costs surge amid the Iran war. The local price of petrol has jumped by about 20% since the start of the conflict, which has seen Iran effectively close one of the world's busiest oil shipping channels, the Strait of Hormuz.
Gasoline and diesel prices were initially set to rise by 2,205 yuan (£239; $320) and 2,120 yuan per tonne respectively – but after government adjustments, the increases will be nearly halved to 1,160 yuan and 1,115 yuan, starting Tuesday.
More than 300 million people in China drive cars that run on petrol or diesel, with Gulf countries a major source of the country's oil. Long queues of cars had formed outside petrol stations in multiple Chinese cities over the weekend, with some stations having to post notices that they had run out of fuel.
This latest price hike was the country's fifth and largest of the year so far, even with the reduction. On Tuesday, the price of Brent crude oil jumped above $100 a barrel - a day after prices plunged, as conflicting accounts of potential talks between US and Iran emerged.
Despite having over the years taken advantage of lower crude prices and building one of the world's largest oil reserves, Beijing has taken steps to manage its supplies amidst rising international prices. Authorities have reportedly ordered oil refineries to temporarily cease fuel exports to keep domestic prices in check.
Countries across Asia, including Japan and South Korea, are also grappling with rising energy costs and have adopted various measures to alleviate the impact on their economies.
In the Philippines, government employees have been mandated to work four days a week, and transport groups have announced strikes to demand government action on the rising fuel prices. Similar measures and adjustments have been noted in other Asian nations dealing with comparable anxieties over energy affordability.
Gasoline and diesel prices were initially set to rise by 2,205 yuan (£239; $320) and 2,120 yuan per tonne respectively – but after government adjustments, the increases will be nearly halved to 1,160 yuan and 1,115 yuan, starting Tuesday.
More than 300 million people in China drive cars that run on petrol or diesel, with Gulf countries a major source of the country's oil. Long queues of cars had formed outside petrol stations in multiple Chinese cities over the weekend, with some stations having to post notices that they had run out of fuel.
This latest price hike was the country's fifth and largest of the year so far, even with the reduction. On Tuesday, the price of Brent crude oil jumped above $100 a barrel - a day after prices plunged, as conflicting accounts of potential talks between US and Iran emerged.
Despite having over the years taken advantage of lower crude prices and building one of the world's largest oil reserves, Beijing has taken steps to manage its supplies amidst rising international prices. Authorities have reportedly ordered oil refineries to temporarily cease fuel exports to keep domestic prices in check.
Countries across Asia, including Japan and South Korea, are also grappling with rising energy costs and have adopted various measures to alleviate the impact on their economies.
In the Philippines, government employees have been mandated to work four days a week, and transport groups have announced strikes to demand government action on the rising fuel prices. Similar measures and adjustments have been noted in other Asian nations dealing with comparable anxieties over energy affordability.
