Vietnam fuel retailers report supply shortages as Petrolimex, wholesalers cite supply difficulties

Fuel retailers struggle to secure supplies

Several fuel retailers in Ho Chi Minh City told Tuoi Tre (Youth) newspaper that wholesalers had been providing limited volumes in recent days, leaving them unable to meet demand.

One retailer said it had received just 40 cubic meters over four days for several gas stations and had to rely on supplies from another source to avoid suspending operations.

Another retailer said it could still obtain fuel but only in quantities determined by its supplier. The retailer said the limited allocation made it difficult to maintain operations when demand increased.

A fuel distributor in Hanoi said supplies from major wholesalers covered only around 40 percent of its contracted demand, forcing the company to restrict sales, particularly of diesel.

“Diesel is in serious shortage, and obtaining supplies is difficult. Although we have registered volumes and signed contracts, suppliers are unable to provide the quantities specified in the contracts,” the distributor said.

The distributor argued that major wholesalers, which are responsible for securing fuel supplies for the distribution system, should fulfill their obligations to ensure adequate market supplies and deliver the volumes agreed upon with distributors.

Petrolimex explains supply pressures

Petrolimex, which accounts for around half of the country’s fuel supply market and is a major source of fuel for the distribution system, said diesel consumption across its network remained very high during the January-July period of 2026, particularly in northern areas.

In July, average daily diesel sales rose 41.9 percent year on year.

In the retail channel, average daily sales increased 36.8 percent from the same period last year and 9.4 percent from the previous month.

Petrolimex attributed pressure on domestic fuel supplies mainly to disruptions at the Strait of Hormuz amid the conflict between the U.S. and Iran.

The situation has made it difficult for some fuel traders to secure supplies, while rapidly rising demand in certain areas and at certain times has shifted more demand toward the Petrolimex network.

“This has placed significant pressure on our capacity to receive, transport and immediately replenish fuel supplies,” Petrolimex said, adding that some of its units may have to temporarily regulate sales to maintain continuous supplies for different groups of customers.

The company described the situation as localized and temporary, resulting from an unusually sharp increase in demand concentrated within its distribution network.

Petrolimex said it was implementing measures to secure supplies and meet market demand.

It is coordinating fuel procurement and distribution between regions, regularly reviewing supply and demand, monitoring inventories and delivery schedules, and arranging additional transportation and supplies for areas where demand has increased.

It has also instructed its units and gas stations to comply with regulations on fuel sales, provide customers with information and guidance if supply difficulties arise, and prioritize fuel for production, transportation, essential services and legitimate consumer needs.

Wholesalers face import and financing difficulties

Meanwhile, private fuel wholesalers said they were also facing mounting pressure from losses, limited access to capital and fuel shortages.

A major wholesaler in southern Vietnam said it had temporarily suspended operations at its network of gas stations for about a month because it could neither import fuel nor obtain sufficient supplies from domestic refineries.

The company previously had contracts to purchase fuel from domestic producers, but lost access to supplies after it could no longer afford to buy at higher prices.

With domestic supplies accounting for only a small share of its demand, the company relies heavily on imports, which have become increasingly difficult amid price volatility and shortages.

The wholesaler said it was losing around VND3,000 (US$0.1) on every liter sold, making it difficult to secure bank financing for imports.

It said fuel prices had risen sharply from around VND16,000 ($0.6) per liter to as much as VND44,000 ($1.7) per liter at times, while banks had tightened lending.

Another major wholesaler said it was able to import only several shipments each month and could not obtain fuel from domestic refineries, allowing it to meet just 50-60 percent of demand.

The company has been forced to suspend contracts with customers outside its own network because it lacked sufficient supplies, focusing instead on maintaining fuel volumes for its own stations.

The wholesaler said escalating tensions in the Middle East had made imports more difficult as neighboring countries restricted exports.

Even when imported fuel was available, prices were high, meaning the company incurred losses on the fuel it imported.

The wholesaler also said imports of ethanol for blending biofuel gasoline had become difficult.

Domestic production meets only part of demand, so companies rely mainly on imports from the U.S., Brazil and other countries in the Americas. However, difficulties in receiving shipments at storage facilities and ports have further constrained supplies.

“Fuel markets around the world are facing difficulties, and neighboring countries are also affected.

Diesel is a key fuel for the entire economy, used in transportation, factories, machinery and fishing boats, and consumption is three times higher than gasoline,” the wholesaler said.

A major state-controlled wholesaler said rising import costs and limited overseas supplies meant its imports were insufficient to meet demand.

The company has therefore focused on maintaining supplies for its own network.

The company said it was selling fuel at a loss because of high import costs but was trying to keep its own stations operating to meet customer demand.

The company called for measures to help stabilize the market and ease pressure on fuel businesses.