THE top economic planner announced a cut on the retail price of gasoline by 520 yuan (US$85) and that of diesel by 500 yuan per ton.

    The adjustment, effective Saturday, meaned retail prices dropped by 0.39 yuan per liter for gas and 0.43 yuan per liter for diesel, according to the National Development and Reform Commission.

    The cut marks the 10th since July.

    China has a pricing regime which adjusts domestic fuel prices when international crude prices change by more than 50 yuan per ton during a time span of 10 working days.

    The last time the government cut the fuel retail price Dec. 12. It also decided to impose higher taxes on the products, the second increase in a month.

    Tax on gasoline, naphtha, solvent oil and lubricating oil rose to 1.4 yuan per liter from 1.12 yuan. The levy on diesel, jet fuel and fuel oil was increased from 0.94 yuan per liter to 1.1 yuan, according to the Ministry of Finance and the State Administration of Taxation.(Xinhua)