Taipei:Despite a decrease in international crude oil prices, CPC Corp., Taiwan's state-owned oil supplier, announced on Saturday that it will keep domestic gasoline and diesel prices unchanged for the upcoming week. This decision marks the eighth consecutive week of maintaining stable fuel prices under government measures to control inflation.

According to Focus Taiwan, CPC Corp. stated that retail prices for 92-, 95-, and 98-octane unleaded gasoline will remain at NT$31.2 (approximately US$0.95), NT$32.7, and NT$34.7 per liter, respectively, from midnight Sunday through November 15. The price for premium diesel will also stay at NT$29.9 per liter during the same period.

The decision comes even as Brent crude prices, a global benchmark, fell more than 13 percent this week. The decline is attributed to hopes for a diplomatic resolution in the Middle East following the U.S. midterm elections, and Iran's reported nuclear proposal to the United States via Qatar, which added to the downward pressure on crude prices.

CPC's pricing mechanism, which considers a weighted average of 70 percent Dubai crude and 30 percent Brent crude, saw the average international crude oil price drop from US$117.01 per barrel last week to US$99.79 per barrel this week. However, retail prices will not decrease as CPC continues to keep pump prices artificially low to mitigate inflation.

Despite maintaining current prices, CPC anticipates absorbing losses amounting to NT$4.3 per liter on gasoline and NT$5.9 per liter on diesel next week. Since February's end, CPC estimates it has absorbed NT$34.07 billion in losses by not transferring the increased fuel costs, driven by the conflict in Iran, to consumers.

Source Focus Taiwan