In May, the gasoline market demand increased and the gasoline price rose. According to the price monitoring of the business agency, the gasoline price at the end of May was 4893 yuan / ton, up 4.30% from 4691 yuan / ton at the beginning of the month. In May, domestic automobile travel returned to normality, gasoline demand returned to normality. In addition, the weather turned hot, automobile oil consumption increased, the main foreign procurement and downstream replenishment increased. In addition, under the influence of the buying atmosphere, traders’ stock operations also increased, and gasoline demand overall improved. At the same time, gasoline exports increased, easing the supply pressure of the gasoline market. In April, China’s gasoline exports were 1.9 million tons, up 62.39% year on year.

In contrast, the diesel market is only supported by rigid demand, and the price of diesel has declined slightly. According to the price monitoring of the business agency, the diesel price at the end of May was 4932 yuan / ton, down 3.66% from 5119 yuan / ton at the beginning of the month. In summer, the temperature rises, outdoor operation is limited, and the fishing off period is keyed in along the coast. The wheat harvest has not yet started, and the diesel demand has entered a short-term low. It is only supported by rigid demand such as engineering, infrastructure, logistics and transportation, and the downstream customers are not willing to replenish. The decrease of diesel export affected the rise of diesel price. In April, China’s diesel export volume was 2.57 million tons, down 9.19% month on month, down 1.1% year on year.

The sharp rise of international oil price did not cause the sharp rise of gasoline and diesel prices. On May 28, WTI crude oil price was US $33.71/barrel, up 70.42% compared with the beginning of the month, but it did not guide the price of gasoline and diesel to rise sharply. The main market was due to the serious depression of crude oil price in the early stage, and the recovery of low-level crude oil after OPEC + implemented production reduction in May was obvious. At the same time, the international oil price is lower than $40 / barrel, which is below the floor price limit of refined oil. The decline of gasoline and diesel prices in the early stage is much smaller than that of international crude oil.

At present, there are many negative factors such as the increase of crude oil inventory in the United States and the reduction of production in Russia. In the next half month, the international oil price may turn down again. International oil prices will continue to operate at $40 / barrel. It is expected that the domestic gasoline and diesel prices will continue to rise and face challenges. In June, the gasoline and diesel prices will be stable, moderate and downward.