Little effect expected in OPEC cuts

China's limited reliance on oil likely to restrain effect of production cuts

OPEC's first agreement to cut oil production in eight years is set to push up oil prices, but analysts said it will have only a limited overall effect on the Chinese economy given the low proportion of oil in its energy mix.

The Organization of the Petroleum Exporting Countries agreed on Wednesday to cut its oil output by 1.2 million barrels per day starting next month. It is the first such concerted move by the organization since 2008 and is expected, together with Russia's agreement also to restrict oil production, to push up oil prices.