Petrol prices in Vietnam rise for six consecutive times in two months

Since last month, prices of RON95 rose by VND5,060 per liter, and E5-RON92 by VND4,640.

The retail prices of petroleum products in Vietnam rose by VND800-880 per liter from 3.00 pm today [June 13] to set a new record high.

Under the latest adjustment, prices of biofuel E5 – RON92 hit VND31,110 (US$1.34) per liter and RON95 to VND32,370 ($1.39) per liter. RON95 currently makes up 70% of the total amount of consumed petroleum products in the domestic market.

The move came following the latest 10-day review on petrol prices jointly conducted by the Ministry of Industry and Trade (MoIT) and the Ministry of Finance (MoF) on the same day, marking the sixth price hike since April 21. Since last month, prices of RON95 rose by VND5,060 per liter, and E5-RON92 by VND4,640.

The price of kerosene was posted at VND27,830 ($1.2) per liter, up nearly VND2,490; diesel at VND29,020 ($1.25), or an increase of VND2,630; but the price of mazut falls to  VND20,350 ($0.88) per kilogram, a decline of VND550 per kg.

According to the ministries, prices of petrol and gas products on the world’s market continued rising, partly due to the scarce supply as the EU imposed sanctions on Russia, the low oil reserve volume in the US; and the insufficient production capacity of the OPEC+ to offset the fall in supply from Russia.

In this context, petrol prices rose by 2-4% in the past 10 days, and oil products by 3-14%, noted the authorities.

During this price review period, the two ministries have subsidized each liter of RON95 with VND200, diesel with VND400, and kerosene with VND300 from the petrol price stabilization fund.

During the current discussion session at the National Assembly (NA), many deputies called on the Government to further cut taxes on petrol and gas products, to curb the upward trend in prices of these commodities.

Since April 1, the environmental protection tax on petrol and oil has been cut by half to respective VND2,000 and VND1,000 per liter until the end of this year.

Deputy Prime Minister Le Minh Khai at the NA’s discussion session noted petrol prices rose by VND7,300-7,900 per liter during the first five months of this year, or an increase of 60% against late 2021. This contributed to a 1.8 percentage point rise in the overall CPI growth.