The Ministry of Finance has proposed temporarily cutting the most-favoured-nation (MFN) import tariff on several gasoline and oil products, as well as related input materials, to 0% in a bid to stabilise domestic supply and safeguard national energy security amid growing global uncertaintie, resulting from the current military conflict in the Middle East.
The proposal is included in a draft decree amending preferential import tariffs for certain goods, which has been submitted to the Ministry of Justice for appraisal.
Under the draft, the MFN tariff on unleaded motor gasoline and gasoline blending components such as naphtha and reformate would be reduced from 10% to 0%. Tariffs on diesel fuel, fuel oil, jet fuel and kerosene would also fall from 7% to 0%.
In addition, several petrochemical feedstocks — including xylene, condensate and p-xylene — would see tariffs lowered from 3% to 0%, while tariffs on other cyclic hydrocarbons would be cut from 2% to 0%.
The drafting agency estimates that if the proposed tariff rates were applied based on import turnover in 2025, state budget revenue could decline by about VND1.02 trillion (over $38.9 million).
If approved, the decree is expected to take effect in April 2026.
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