Vietnam re-imposes import taxes for gasoline and jet

Vietnam’s Ministry of Finance has re-imposed import taxes for gasoline, blendstocks and jet fuel at 4% effective Wednesday, a circular on the ministry’s website showed.

Import taxes for these products were abolished January 14, from a previous tariff of 6%, due to heavy losses being incurred by state-owned oil products importers early in the year.

Import tariffs for kerosene and diesel remained unchanged from their previous adjustments at 5%.

Earlier this week, the finance ministry ordered local oil product retailers not to hike prices ahead of the country’s new year holidays over January 21-29 in a bid to keep inflation at 9% in 2012 after it reached a high of 18.58% in 2011.

At the same time, the government has lowered contributions to be made by local oil companies for gasoline sales to the Oil Stabilization Fund to Dong 300 (1.4 cents)/liter, from Dong 550/liter set November 28.

Withdrawals that oil companies are allowed to make from the fund for every liter of diesel, kerosene and fuel oil they sell were also reduced, as their losses have declined, Platts reported earlier.

Source platts

Posted by VBN on Dec 29 2011. Filed under Video. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry