China’s surging diesel prices ripple across logistics supply chain ahead of Singles’ Day shopping holiday
- Diesel prices in China have hit 8,023.2 yuan (US$1,254) per tonne in the second half of the year, marking 64.4 per cent year-on-year growth
- The rising price of diesel has come at a critical time for the logistics industry ahead of peak shopping and delivery season
In recent weeks, truck driver Wang Ping has started changing the route of his regular 5,000km (3,100 miles) round trip from the central Chinese province of Hubei to the Pearl River Delta in the south.
With the price of diesel now above 7.2 yuan (US$1.125) per litre from 5 yuan earlier this year, Wang has been making new stops to meet with illicit fuel sellers because he can no longer afford to fill his 49-tonne truck at regular petrol stations.
Diesel prices in China hit 8,023.2 yuan (US$1,254) per tonne in the second half of October, according to the National Bureau of Statistics, marking 64.4 per cent year-on-year growth.
The sharp increase in prices has come at a critical time for the logistics industry ahead of peak shopping and delivery season. China’s Singles’ Day, which is the world’s largest online shopping festival, had kicked off and drivers face earnings pressures when their expenses rise.
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