The average price of gasoline at gas stations across the country has dropped to the 1,800 won per liter range. Liquefied petroleum gas (LPG) also fell by 20 won per kg. Analysts say that as international oil prices are on a downward trend, oil prices and LPG prices, which are linked to them, are also falling.
According to the Korea National Oil Corporation’s oil price information service Opinet on the 1st, the average selling price per liter of gasoline at gas stations nationwide on the 31st of last month was 1897.27 won, down 3.17 won from the previous day. It is the first time in four months since the 9th of March this year (1892.4 won) that the price of gasoline entered the 1,800 won range. Gasoline, which was 2,144.90 won on June 30, fell more than 247 won in a month. This is the result of a reduction in oil tax from 30% to 37% since last month and a drop in international oil prices. An industry insider said, “In one month, it has fallen more than four times the amount of the additional fuel tax cut.”
The price of diesel for automobiles also fell 2.71 won from the previous day to 1982.61 won on the 31st of last month. The price of diesel, which exceeded 2,000 won, fell to the 1,900 won range on the 28th of last month (1998.46 won) and continues to decline. It is the first time in two months since May 23 (1998.38 won) that the price of diesel fell below 2,000 won. As some of the imports of Russian diesel, sanctioned by the invasion of Ukraine, cut off, domestic diesel prices are surpassing gasoline prices.
By gas station, it was found that thrifty gas stations led the decline in oil prices. The price of gasoline at self-run thrifty gas stations was 1831 won per L on the 31st of last month, down 306.1 won from the 30th of June.
On the 1st, SK Gas and E1, the two largest LPG distributors in Korea, cut prices of LPG such as propane and butane by 20 won per kg. With this cut, the price of butane for automobiles supplied by SK Gas and E1 fell from 1731.68 won to 1711.68 won and from 1732.68 won to 1712.68 won per kg, respectively.
By Kim Ik-hwan, staff reporter lovepen@hankyung.com
