Chinese petrol prices soured following Russian aggression in Ukraine

 As reported by Sohu, an extra 10 RMB had to be paid  to fill up a tank of fuel, and experts say that the price will continue to rise. Domestic refined oil prices ushered in "four consecutive rises" during the year. On March 3, the National Development and Reform Commission issued a notice on price adjustment of refined oil products. From 24:00 on 3 March 2022, domestic petrol and diesel prices will increase by 260 RMB and 255 RMB(Chinese Yuan or yuan) per ton respectively.

The national average: 0.2 yuan per liter for No. 92 petrol; 0.22 yuan per liter for No. 95 petrol; 0.22 yuan per liter for No. 0 diesel. According to the estimated capacity of the 50L fuel tank of a general household car, filling a tank of No. 92 gasoline will cost an extra 10 yuan.

After the oil price increase this time, the price of No. 92 gasoline in many parts of the country has entered the "8 yuan era". This year, the domestic refined oil market has gone through four rounds of price adjustment windows. This adjustment is also the fourth time that refined oil prices have risen during the year. After the cumulative increase, petrol and diesel have been increased by 1,125 yuan/ton and 1,085 yuan/ton respectively.

Taking a private car with a capacity of 50 liters as an example, after the price adjustment is implemented, it will cost 10 yuan more to fill a tank of No. 92 petrol.

Following petrol price adjustments, cost of other properties will increase and demand of products due to reduced disposable personal income will reduce. As a result, business is to be squeezed giving rise to impairment risks of assets, such as receivables, inventories, PPEs, intangibles,etc., and reevaluation of share prices and credit ratings of bonds.

Usually tourism industry needs clients to travel on a car or plane consuming petrol

Source: Fast Technology and Sohu.