Nippon Oil cuts wholesale gasoline prices

Leading Japanese oil distributor Nippon Oil Corp. said it will lower its wholesale gasoline price in September by ¥5.1 (US$0.05) per liter from July, its first cut since November 2006. It is the company’s biggest price cut since October 1990. Following the move, the average retail gasoline price is expected to fall below ¥180 (US$1.71). Another major oil distributor, Japan Energy Corp., is expected to cut its wholesale gasoline price by ¥5(US$0.05). Retail prices of regular gasoline declined for the third straight week, dropping ¥1.5 (US$0.01) to ¥181.7 (US$1.73) on average as of late August, due to severe price competition in the face of sluggish demand. (August 27, 2008)