Taiwan keeps oil prices frozen for second week as CPC absorbs costs

Taiwan's domestic oil prices will hold steady for a second consecutive week, as state-run CPC Corporation announced it would absorb costs to maintain current rates. Despite ongoing high international oil prices, CPC's measures, including government-supported fuel tax reductions, will prevent any adjustments to gasoline and diesel prices starting Monday.

The decision to freeze prices comes as CPC has absorbed a total of NT$4.2 per liter for gasoline and NT$3.7 per liter for diesel. This includes a NT$3.7 and NT$2.1 absorption respectively from an expanded fuel tax reduction by the government. CPC further absorbed an additional NT$0.5 for gasoline and NT$1.6 for diesel for the week of August 10 to August 16 to maintain the lowest prices in the region and as part of a special mechanism to stabilize prices during the ongoing conflict.

CPC stated that uncertainty in crude oil supply from the Middle East continues to keep international oil prices high. The company's efforts to absorb costs, totaling approximately NT$16.43 billion since the conflict began, are intended to alleviate the burden on domestic consumers and stabilize the cost of living. The current prices will be NT$30.5 per liter for 92-octane unleaded gasoline, NT$32.0 for 95-octane, NT$34.0 for 98-octane, and NT$29.3 for super diesel.