The Rise and Fall in Gasoline Prices Worldwide
Nowadays, different industries in different countries include boutiques, department stores, shipping lines, and many more. In these kinds of businesses, they need machineries, equipment, tools, and devices to use. One of the ways to make them work is gasoline. Gasoline plays an important role to any kind of business, be it for transportations or for machine operations.
Gasoline is commonly used to fuel combustion engines, like in automobiles. It is available at gas and petrol stations. It is one of the necessities in society, including knowing how to run businesses. Factories need gasoline to fuel their machineries and equipment. Mostly, people use it to fuel their cars for every day transportation. At times, the prices of gasoline and even other petrol products go up and down. Questions like “What are the reasons that affects the price”, “How can we avail for a lesser or cheaper price”, or “When can we trade for the cheaper one” come up.
Gasoline is traded at similar prices to different countries. Only that price may vary according to the accessibility of the country to the international market. One of the many reasons why gasoline prices rise and fall is the transportation cost of the retailers. The distance of the country from the supplier really matters. Retailers add the transportation expenses to the product. The demand also affects the price, as for example, in summer months when people are all on the road trips for vacations and travels – the needs for fuel increase with the price. Next, the availability of the supply to the world market. Lastly, the unpredictable natural disasters encountered in countries can also affect gas prices.
Unexpectedly, we encounter natural disasters like hurricanes, typhoons, thunderstorms, and earthquakes; This largely affects the process. Transportation is delayed so the station should have to wait until it becomes accessible. Extreme weather may also cause hike on the price. The countries producing and exporting gasoline tend to have lower prices of gasoline. In the countries of Japan and Europe, they impose high taxes while in Venezuela, Saudi Arabia and United States, they have low taxes.
The countries of United States, China and Japan are considered as the largest consumers of gas. They use it for cars, companies and factories as well as reserve. These countries are the top-grossing production of devices, gadgets and supplies to the needs of the society. In the US alone, there are lots of consumers and traders’ demand for large amount of gasoline. The countries with big oil reserves have lower prices of gasoline because of the subsidies they receive. These subsidies will go to the repairing of roads and bridges as based on the United States code.
Therefore, the reasons why countries have different gasoline prices are predicted with different factors. These factors include the availability, demand, natural disaster and the local strength of currencies in a particular country.