In line with the recent drop in international crude oil prices, China may consider cutting its retail fuel prices at the end of this month, said industry insiders.

Xu Bin, analyst with Changjiang Securities, said the government is likely to adjust fuel prices under the current change in global crude prices. "If the international prices drop below $60 per barrel at the end of July, based on previous experiences, the price reduction in domestic refined oil would be around 400 yuan to 500 yuan per ton."

Zhong Jian, analyst with the Shanghai-based oilgas.com.cn, echoes Xu's opinions. "It would not be surprising to see changes in gasoline and diesel prices next week."