Retail fuel prices drop sharply to mid-March levels

With this latest downward adjustment, price of popular gasoline RON 95 decreased by VND3,090 to VND29,670 per liter while that of biofuel E5 RON 92 fell by VND3,110 to VND27,780.

Price of diesel, kerosene, and mazut oil respectively decreased to VND26,590 from VND29,610; to VND26,340  from VND28,350; to VND18,920 from VND19,720.

Last week, the National Assembly Standing Committee approved the Government's proposal to cut environmental protection tax on gasoline to the floor level in a bid to cool down rising energy price.

The decision is set to take effect from July 11 after it was made at the Committee's extraordinary session on Wednesday. 

Specifically, environmental protection tax on gasoline will be reduced to VND1,000 per liter from the current VND 2,000.

Environment protection tax on jet fuel will be lowered to VND1,000 per liter from the current VND1,500.

Environment protection tax on diesel oil will be cut to VND500 per liter from the current VND1,000.

Environment protection tax on mazut oil and lubricants will be reduced to VND300 per liter from the current VND1,000.

Environment protection tax on grease will be lowered to VND300 from the current VND1,000.

Meanwhile, tax on kerosene remains unchanged at VND300 per liter as it has stood at the floor level.

National Assembly Chairman Vuong Dinh Hue also asked the Government to promptly mull over reduction of other taxes and fees related to petrol products including special consumption tax and value added tax (VAT).

The tax costs related to the composition of gasoline prices in Viet Nam were quite large, ranging from 30 to 45 per cent of petrol prices, including import tax, special consumption, value-added tax, and business expenses./.