Why is the price of diesel getting higher?

The growing global demand for diesel affects its price
June 10, 2008

Have you heard in recent news reports that making a living is becoming more difficult because oil prices are getting higher?
The price of diesel, in particular, which oil refiners supply to gas stations, has risen above the price of gasoline for the first time.
In the past, gasoline prices were always higher than diesel prices in Korea. To help companies that are using more diesel than gasoline, Korean government reduced the tax on diesel.
But since the international diesel prices have been soaring, the ratio of diesel prices to gasoline has become higher. Diesel prices are now higher than gasoline prices. Accordingly, drivers of trucks with diesel engines are demanding the government should cut the tax on diesel again. The government has not reached a conclusion on this issue.
http://joongangdaily.joins.com/article/view.asp?aid=2890888


The Korean Peninsula produces no crude oil. The prices of oil products in the Korean market depends on international price changes. If the international prices of diesel rise, the domestic prices of diesel also rise in turn. Though the government still imposes less tax on diesel than on gasoline, it can't control price hikes. The hikes in diesel prices are ailing not only refiners, gas stations and truck drivers, but also general businesses and common people. I'm really concerned about the future of our economy.