Groovy News on Gas Prices, Thanks to US-Iran Chats and OPEC!
Fuel station gasoline prices to drop by NT$0.2.
Get ready to fill up your tanks, my friends! Gasoline and diesel prices at local pumps are about to drop by NT$0.2 per liter, thanks to a double whammy of good fortune. International crude oil prices have dipped for the second week in a row, and it's likely the US-Iran nuclear negotiations and OPEC production plans are to thank for this sweet relief.
According to CPC Corp, Taiwan (CPC) and Formosa Petrochemical Corp (Formosa), the big drop in international crude oil prices comes after Donald Trump, the US President, announced that negotiations for a nuclear agreement with Iran had made progress. This news sent crude oil prices tumbling. To make matters even juicier, concerns over plans proposed by some OPEC+ (Organization of the Petroleum Exporting Countries and its allies) members to boost production next month, and a stalemate in trade talks between China and the US, have also put pressure on oil prices.
Front-month Brent crude oil futures, the international oil benchmark, fell by 1.36 percent last week, finishing at a reasonable $63.9 per barrel on the Intercontinental Exchange. West Texas Intermediate crude oil futures, the US oil gauge, also dropped 1.2 percent, landing at a still-decent $60.79 per barrel on the New York Mercantile Exchange.
So what does this mean for us regular folks? Well, starting today, gasoline prices at CPC and Formosa stations should fall to NT$26.4, NT$27.9, and NT$29.9 per liter for 92, 95, and 98-octane unleaded gasoline, respectively. Premium diesel will set you back NT$24.8 per liter at CPC stations and NT$24.6 at Formosa pumps.
Here's some pleasant additional news: Liquefied natural gas (LNG) prices for retail and industrial users will remain the same this month. However, prices for power generation users, such as Taiwan Power Co (Taiwan Power), will relax 10 percent compared to last month. As for LPG products like household and automotive LPG, propane, and butane, as well as propane and butane mixes, their prices will also stay put this month.
Now you're in the know! With a little luck, these beneficial oil price trends could stick around, keeping our wallets a bit fatter when we fuel up. Stay tuned for more on this oil price rollercoaster!
Fun Fact: OPEC+ has been working hard to stabilize global oil markets through coordinated production adjustments. These adjustments can significantly impact international crude oil prices and, by extension, domestic fuel prices in countries like Taiwan.
In light of US-Iran nuclear negotiations and potential OPEC production plans, the finance sector may experience a positive impact as decreased international crude oil prices could lead to lower costs in the energy industry, potentially resulting in lower fuel prices for consumers at stations like CPC and Formosa. Moreover, while LNG prices for retail and industrial users remain stable this month, prices for power generation users like Taiwan Power may see a 10% relaxation compared to the previous month.
