South Korea announced Thursday it will reduce tariff rates on 39 imported goods from July in a bid to stabilize prices.

In a statement released on the day, the Ministry of Finance and Economy said tariff rates of oil products such as gasoline and diesel, as well as raw materials such as ferronickel, will be included.

"The move reflects the government's intention to stabilize product prices and spur competition in local industries," the statement said.

Following the decision, tariff rates on gasoline, kerosene, diesel and fuel oil will be reduced from 5 percent to 3 percent. However, the tariff rate on crude oil, which was reduced to 1 percent in 2004, will be maintained.

According to the statement, tariff rates on ferronickel and nickel ingot will be cut to 1 percent from 3 percent, while the rate on raw silk will be reduced to 1 percent from 8 percent.