Gasoline and Diesel Prices Drop by Over 50 Won; Fuel Prices Fall for 7 Consecutive Weeks

▲ A gas station

Domestic gasoline and diesel prices at gas stations have fallen to the mid-1,900 won range, dropping by 50 to 60 won over the past week due to the implementation of the 7th oil price ceiling system and a decline in international oil prices.

According to Opinet, the oil price information system operated by the Korea National Oil Corporation, the average retail price of gasoline at gas stations nationwide for the first week of July (June 28 – July 2) was 1,952.1 won per liter, down 55.7 won from the previous week.

By region, Seoul recorded the highest price at 1,976.6 won, down 73 won from the previous week, while Daejeon had the lowest price at 1,916.4 won, a decrease of 77.4 won.

By brand, S-Oil stations had the highest average price at 1,954.1 won, while SK Energy stations had the lowest at 1,950.5 won.

The average retail price of diesel fell by 58.9 won from the previous week to 1,942.4 won.

Average nationwide prices for both gasoline and diesel have fallen for seven consecutive weeks, from the third week of May to this week, following the stabilization of international oil prices after the signing of a memorandum of understanding (MOU) to end the war between the United States and Iran.

While the weekly decline remained in the decimal range until the third week of June, the drop accelerated from the fourth week of June due to the impact of the U.S.-Iran MOU.

International oil prices fell this week on expectations of normalized crude oil supply as U.S. and Iranian working-level delegations and mediators discussed peace terms in Doha, Qatar; however, the decline was limited as negotiations remained at a standstill.

Dubai crude, the benchmark for imported oil prices, stood at 63.3 dollars as of July 2, down 1.1 dollars from a week earlier.

Changes in international oil prices are typically reflected in domestic gas station prices with a lag of two to three weeks.

The government previously lowered the 7th oil price ceiling, which took effect at midnight on June 27, by 150 won per liter for each fuel type.

Accordingly, the price ceilings were set at 1,784 won for gasoline, 1,773 won for diesel, and 1,380 won for kerosene.

(Photo: Yonhap News)

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