US inflation 8.3% in April… increase is less
For the first time in 14 years, a ‘reversal phenomenon’ has occurred, in which the average price of diesel in the country surpasses that of gasoline. The prolonged Russian invasion of Ukraine has disrupted the global supply and demand of diesel, and it is analyzed that the price of diesel has risen significantly. Some analysts predict that the price of diesel will be stimulated further as it is used in manufacturing and agriculture.
The U.S. Department of Labor announced on the 11th (local time) that the consumer price index (CPI) surged 8.3% in April from a year ago while gasoline prices soared to an all-time high in the United States. Although the increase decreased from the previous month (8.5%), it still maintained a high level.
According to Korea National Oil Corporation’s oil price information service Opinet on the 11th, the average selling price of gasoline at gas stations nationwide as of 4 p.m. that day was 1946.11 won per liter and 1947.59 won per liter for diesel. The price of diesel rose by 1.48 won per liter compared to the price of gasoline.
Reversal of diesel prices, further cut in gasoline fuel tax also affected
Diesel price overtakes gasoline
It is analyzed that the reversal of diesel prices was largely due to the Russian invasion of Ukraine. Europe has a high proportion of diesel cars, so there is still a lot of demand for diesel.
The government extended the fuel tax cut from the previous 20% to 30% from the 1st, but the fact that the reduction in the fuel tax for diesel was less than that for gasoline also had an impact.
Gasoline prices reversed for regarding three weeks from May 29 to June 18, 2008. At that time, the demand for diesel in emerging markets such as China and India soared, and the price of diesel in the international market jumped more significantly than gasoline.
As the price of diesel soars, concerns are growing in the freight and transportation industry. Diesel is used as fuel for delivery trucks, buses, and construction site operation equipment. Many workers depend on diesel for their livelihood. The Cargo Solidarity of the Public Transport Workers’ Union of the National Confederation of Democratic Trade Unions continues to urge the government to prepare measures for oil prices.
Sejong = former special school [email protected]
Reporter Joo Ae-jin [email protected]
