Vietnam cuts fuel prices after recent hike

The price adjustment, made by the Ministry of Industry and Trade, came after an increase announced late on Tuesday, and followed a sharp decline in global fuel prices over the past two days.

Under the new pricing, E5RON92 gasoline was capped at VND22,951 ($0.87) per liter, down VND3,619 ($0.14) from the previous level, while RON95-III gasoline fell VND3,880 ($0.15) to VND25,240 ($0.96) per liter.

Diesel prices were reduced by VND4,247 ($0.16) to VND26,470 ($1) per liter, while kerosene dropped VND7,966 ($0.3) to VND24,419 ($0.93) per liter.

Mazut fuel oil was lowered by VND5,706 ($0.22) to VND19,001 ($0.72) per kg, the ministry said.

Authorities continued to use the country’s fuel price stabilization fund to offset price movements but did not collect new contributions during the adjustment cycle.

The government has also supported fuel prices by cutting import tariffs on several petroleum products under Decree 73, which took effect on Monday.

Vietnam typically adjusts retail fuel prices on Thursdays under existing regulations, but the government has allowed earlier adjustments when base prices for commonly used fuels rise by seven percent or more, under a resolution adopted to respond to volatility in global energy markets.

Global energy prices had surged due to an escalating conflict involving the United States, Israel, and Iran in the Middle East, with the Strait of Hormuz -- a key shipping route for about one-fifth of global oil consumption -- at risk of disruption.