South Korea imposes fuel price cap to curb Mideast conflict shock

Seoul: South Korea said Thursday a fuel price cap would take effect from midnight to mitigate pressure on the country s energy supply during the Midea...

Seoul: South Korea said Thursday a fuel price cap would take effect from midnight to mitigate pressure on the country's energy supply during the Mideast conflict.

The country is heavily reliant on energy imports, including shipments through the Strait of Hormuz, and has said it will try to find alternatives to secure supplies.

It marks the first such measure introduced in Asia's fourth-largest economy since 1997.

"The government has decided to introduce institutional measures aimed at curbing the recent surge in domestic oil prices triggered by the situation in the Middle East," the energy ministry said in a statement.

The price ceiling applies to supply prices charged by refiners to distributors and gas stations, not retail prices charged to customers at gas stations, the ministry said.