Vietnam removes tariffs on fuel and some petrochemical raw materials

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　　According to Sinochem New Network, on March 9, the Vietnamese government issued Decree No. 72/2026, adjusting the most-favored-nation (MFN) import tariffs on certain gasoline products and raw materials used in gasoline production. Under this decree, the import tariffs on various fuels and petrochemical raw materials will be reduced to 0%, in an effort to increase domestic supply, stabilize the fuel market, and address potential fluctuations in global energy supplies. 　　Among them, the most-favored-nation import tariff rates for lead-free automotive gasoline and gasoline blending materials such as naphtha and reformed oil will be reduced from 10% to 0%; meanwhile, the most-favored-nation import tariff rates for products such as diesel, fuel oil, aviation fuel, and kerosene will also be lowered from 7% to 0%. In addition, the tax rates on certain petrochemical raw materials have also been reduced accordingly; the import tax rates for xylene, condensate oil, and p-xylene will be lowered from 3% to 0%, while the tax rates on other cyclic hydrocarbon products will be reduced from 2% to 0%. 　　The Vietnamese government issued a statement saying that the issuance of the decree was due to the tensions in the Strait of Hormuz. According to Vietnamese official media, the price of the most commonly used type of gasoline in the country has risen by 21% recently, reaching 27,040 Vietnamese dong per liter. 　　At present, supply at Vietnam’s two major refineries, Rongoc and Yisan, remains stable, and existing inventory as well as crude oil in transit are sufficient to support production in the near term. Companies are signing new crude oil procurement contracts with international partners to actively seek alternative sources. However, according to analysis by Vietnam’s Ministry of Finance, if tensions in the strait persist, the refining industry in Asia will be the first to suffer; many refineries may be forced to reduce production, draw on their crude oil reserves, and limit exports of refined products, which will further drive up international fuel prices. The production of bulk chemical products will also be affected. The introduction of this decree will, by reducing the import tariffs under most-favored-nation treatment, provide domestic enterprises with greater incentives to find new sources of imports in markets that have not yet signed free trade agreements with Vietnam. This will help diversify supply channels, ensure stability in the domestic fuel market, and enhance **energy security. 　　The Vietnamese Ministry of Finance stated that the decree takes effect immediately upon its signing on March 9, 2026, and remains in force until April 30, 2026. If policy support remains necessary in the future, further proposals will be submitted to the government to decide whether to extend it.