China Rations Diesel as Refiners Struggle with Record Crude Oil Prices

from the Tehran Times:

""What's wrong with the oil market? Our drivers had to queue the whole night for only a small amount of fill, slowing the traffic by almost one day,"" said Gao Meili, who manages a logistics company. ""Why not just raise the prices? We are ready to pay a bit more if we can get the oil.""

Gao's comments hit the core reason for the supply squeeze -- Chinese refiners cannot pass the soaring crude costs on to consumers. Beijing fears stoking already high inflation and rigidly caps pump fuel rates to shield users from a 50 percent rally in global oil so far this year.

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