Gas prices at stations across South Korea have fallen for the ninth consecutive week, but the decline has slowed significantly due to rising international oil prices amid ongoing tensions between the U.S. and Iran. As international prices increase, domestic fuel costs are expected to rise in the near future.
According to the Korea National Oil Corporation's oil price information system, Opinet, the average price of gasoline at nationwide stations for the third week of July (July 12-16) was 1,877.5 won per liter, down 15.5 won from the previous week.
While gasoline prices have continued to decline for nine weeks, the rate of decrease has significantly narrowed compared to the previous week's drop of 59.1 won. Regionally, Jeju reported the highest price at 1,914.8 won per liter, while Daegu recorded the lowest at 1,850.1 won.
The average price of diesel also fell, decreasing by 17.7 won to 1,862.5 won per liter. However, this decline is much less steep than the previous week's drop of 62.3 won.
International oil prices have reversed course this week, driven by increased market anxiety due to ongoing military clashes over control of the Strait of Hormuz between the U.S. and Iran.
The price of Dubai crude, a benchmark for imported oil, rose by $9.5 to $77.6 per barrel. International gasoline prices increased by $9.3 to $104.2 per barrel, while international diesel prices surged by $22.7 to $144.3 per barrel.
Changes in international oil prices typically affect domestic fuel prices with a lag of 2 to 3 weeks. Therefore, if the recent rise in international oil prices continues, domestic fuel prices may also begin to increase.
Meanwhile, the government implemented the seventh maximum oil price on June 27, reducing gasoline prices to 1,784 won per liter, diesel to 1,773 won, and kerosene to 1,380 won, each by 150 won.
* This article has been translated by AI.
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