Fuel prices to rise this week

Taipei, Taiwan's domestic gasoline and diesel prices will both rise by NT$0.3 (US$0.0098) per liter this week, mainly because of a drop in the United States' crude oil inventory and the greenback weakening against other major foreign currencies on the international market, two major suppliers said Sunday.

State-owned oil refiner CPC Corp. Taiwan said that after the adjustments, which will take effect at midnight Sunday, prices at its stations nationwide will be NT$28.8 per liter for 92 octane unleaded, NT$30.3 per liter for 95 unleaded and NT$32.3 per liter for 98 unleaded.

The price of super diesel will increase to NT$26.8 per liter, the company said.

Privately owned Formosa Petrochemical announced identical price rises, to take effect from 1 a.m. Monday.

Prices at Formosa Petrochem gas stations nationwide will climb to NT$26.5 per liter for super diesel, NT$28.8 per liter for 92 octane unleaded, NT$30.2 per liter for 95 unleaded and NT$32.3 per liter for 98 unleaded, the company said.

CPC said the price adjustments reflected a sharp decline in the U.S. oil inventory over the past week and the weakening of the U.S. dollar on the foreign exchange market.

The U.S. Dollar Index (DXY or USDX), a trade weighted index measuring the value of the U.S. dollar relative to a basket of currencies, often referred to as the currencies of the U.S.'s main trade partners, closed 0.5 percent lower at 95.16 Friday, according to MarketWatch data.

CPC calculates its weekly fuel prices based on a weighted oil price formula made up of 70 percent Dubai crude and 30 percent Brent crude.

Under its floating pricing mechanism, the average price per barrel of crude surged US$1.84 this past week, from US$70.61 to US$72.45, according to the CPC website.

Source: Focus Taiwan News Channel