China's top economic planning agency said that it will cut domestic oil prices by about 400 yuan ($64) a metric ton starting from Thursday, in the first price adjustment since the country launched a new gasoline pricing mechanism on March 26.

Retail gasoline prices will drop 395 yuan a ton, or 0.29 yuan a liter, and diesel prices will fall 400 yuan a ton, or 0.34 yuan a liter, the National Development and Reform Commission said on Wednesday.

On April 10, the NDRC decided not to change domestic oil prices because average international gasoline prices over the previous 10 working days had remained basically unchanged compared with the last price adjustment on March 27.