Diversifying supply sources, removing import difficulties
At the regular press conference for the first quarter of 2026 of the Ministry of Finance on April 9, Mr. Luu Duc Huy - Deputy Director of the Department of Tax, Fee and Charge Policy Management and Supervision said that after the impact of conflicts in the Middle East, an urgent requirement is to diversify the supply of gasoline and oil.
Mr. Huy cited a report from the Ministry of Industry and Trade, currently Vietnam has two oil refineries. In conditions of operating at maximum capacity, these two refineries only meet about 60–70% of the domestic demand for finished petroleum products, and about 30% depend on imports.
However, imports also face certain obstacles. Imported gasoline and oil sources enjoying a 0% tax rate under free trade agreements (FTAs) require a certificate of origin of goods in accordance with regulations, and at the same time incur additional costs. In the context of conflict, finding sources of goods that meet preferential tax rates becomes increasingly difficult.
Notably, Nghi Son Refinery and Petrochemical Plant is heavily dependent on crude oil imported from the Middle East. When conflicts occur in this area, the factory's input raw materials are also affected, making ensuring supply even more pressure.
Faced with that situation, according to the direction of the Government, the Ministry of Finance has coordinated with the Ministry of Industry and Trade to advise on issuing Decree No. 72, reducing MFN preferential import tax to 0% for 15 items related to gasoline and raw materials for gasoline production, equivalent to the tax level in FTAs.
The Decree takes effect from March 9 to April 30, creating conditions for businesses to quickly sign import contracts, ensuring domestic supply in the coming months.
Simultaneously reduce 3 taxes to cool down gasoline and oil prices
Besides the supply problem, the sharp increase in world gasoline prices also creates great pressure on the domestic market. According to Mr. Huy, in the current base price structure of gasoline and oil, there are three main types of taxes including special consumption tax, environmental protection tax and value-added tax.
In urgent conditions, along with the use of the gasoline and oil price stabilization fund, the Government has directed to consider reducing tax rates that can be adjusted to curb price increases.
On that basis, the Ministry of Finance has reported to the Government and the Politburo in the direction of reducing all three types of taxes.
According to the Prime Minister's decision, environmental protection tax on gasoline and oil is applied at a rate of 0 VND; special consumption tax is reduced to 0%; for value-added tax, businesses selling or importing gasoline and oil do not have to pay output tax but are still entitled to input tax deduction.
Immediately after the decision was issued on the 26th, the Ministry of Finance coordinated with the Ministry of Industry and Trade to manage prices from the 27th, thereby helping gasoline and oil prices decrease rapidly, with some items decreasing by nearly 6,000 VND/liter.
Mr. Luu Duc Huy said that in the long term, the Government has assigned the Ministry of Finance to continue to study and develop a resolution to submit to the National Assembly to adjust taxes related to gasoline and oil according to its authority.
It is expected that this resolution will take effect from April 16, immediately following the implementation phase according to the Prime Minister's decision and lasting until the end of June 30. The Ministry of Finance has completed the dossier according to simplified procedures in case of emergency.
The Government has submitted Official Dispatch No. 341 to the National Assembly and the National Assembly Standing Committee. The National Assembly Standing Committee has given opinions on this content and is expected to submit it to the National Assembly for consideration and approval right in the early days of the session for timely application from April 16.
