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Old 07-04-08, 05:53 PM
Fredledingue Fredledingue is offline
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Chinese are paying at the pump 13 cents per gallon less than what gasoline is traded on the Nymex ($3.55/gallon vs $3.42/gallon - link, see at the bottom).
So either China gets oil cheaper or they are subsidizing by that much or both.
I don't know how many gallons chinese consume per year, but it certainly not peanuts.
The article I posted above shows a figure of $1.8 billion per year for chinese subsidies, that's not "a lot" for China but still.

But there isn't only China. The total for all gas subsidies globaly should be $100 billions per year. That much going straight from the wallet of third-world tax payers to arab and persian oil sheik coffers.

The same goes for electricity generated with petroleun fuels. They either pay for it or subsidize it, probably more than automobile fuels.

The point out of it is as you said, it's odd to imagine chinese and indians who earn 8 times less than americans, burning more gas at these levels while americans lower their consumption and see their economy in jeopardy.
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