China cuts tariffs on oil products

China’s Ministry of Finance said that the country will cut tariffs on oil products, including gasoline and fuel oil, to 1%, starting July 1. Import tariffs on diesel fuel and jet kerosene will be done away with all together. The government’s move to lower import tariffs is seen as a way to encourage imports, in an effort to guarantee sufficient levels of fuel for domestic needs. A protracted drought in China, in conjunction with increased fuel usage by the manufacturing segment, has led to electricity rationing and power shortages. (June 24,2011)