Why does China's gasoline price stay high even when international crude falls?

Why does China's gasoline price stay high even when international crude falls?
China's refined fuel pricing anchors to a 10-working-day average of a basket of crudes, bounded by a 40 USD/bbl floor and a 130 USD/bbl ceiling. The floor is hard: below 40 USD, domestic prices stop falling. The ceiling is soft: above 130 USD, prices rise less or not at all. Between the two, adjustments track the average normally. Because the downside is capped but the upside is not, the price base ratchets upward over time. Taxes compound this — excise duty is a fixed 1.52 yuan per litre regardless of crude, plus 13% VAT, so roughly 35-40% of pump price is tax. That is why retail gasoline feels sticky on the way down.