Vietnam extended fuel tax incentives until the end of 2026
The Vietnamese government has extended fuel tax incentives until the end of 2026. The preferential conditions apply from October 1 to December 31 and cover gasoline, diesel and aviation fuel, as well as certain types of raw materials used in their production.
In particular, reduced import tax rates remain in place. In addition, the environmental tax for a number of fuel types remains at 0 dong per liter. These measures are aimed at reducing the tax burden and curbing the rise in fuel costs on the domestic market. Vietnam’s Ministry of Industry and Trade has notified companies engaged in the sale and distribution of petroleum products about the extension of the incentives. Companies must take the current tax conditions into account when calculating retail prices.
At the same time, the extension of the incentives does not mean a price freeze at gas stations. The cost of gasoline and diesel fuel in Vietnam will still be adjusted depending on global petroleum product prices, exchange rates, and other factors taken into account in state market regulation.
This is also evident from the first price adjustment after the incentives took effect. From October 1, E5 RON92 gasoline rose by 172 dong per liter, while diesel fuel, on the contrary, became cheaper by 780 dong per liter.
Thus, the government’s decision makes it possible to maintain more favorable tax conditions for the fuel market until the end of the year, but it does not guarantee stable gasoline and diesel prices for consumers. Retail prices will continue to change in line with the situation on the domestic and global markets.
