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TAIPEI, April 1 Asia Pulse - CPC Corp., Taiwan (CPC) assured the public Sunday that it will maintain an adequate supply of fuel, as consumers turn to the state-run oil company following an increase by its competitor in the price of gasoline and diesel products.
Citing soaring international crude oil prices, Formosa Petrochemical Corp. (FPCC) (TAIEX:6505), Taiwan's only private refinery, hiked the prices of its gasoline and diesel products March 28 by NT$2.8 (US$0.09) per liter and NT$3.1 per liter, respectively, to NT$32.8 and NT$30.6 per liter.
CPC did not to follow FPCC's lead, despite the fact that it recorded losses of NT$20 billion (US$670 million) during the last five months due to a government price-freeze policy.
With CPC maintaining gasoline and diesel prices at NT$30.0 and NT$27.5. respectively, business at FPCC pumps dropped by 20 to 50 per cent during the last two days, while CPC saw an estimated 10 per cent increase in sales.
The situation has, however, given rise to speculation over a possible shortage of gasoline supply as CPC might have trouble meeting the higher ...