Tomorrow, the price of gasoline exceeds 30,000 VND/liter?

Data from the Ministry of Industry and Trade shows that the average price of finished gasoline on the Singapore market updated to May 6 has increased sharply compared to the previous one. Specifically, gasoline RON 92 used to mix gasoline E5 RON 92 increased to 137.36 USD per barrel, while RON 95 gasoline increased to 141.65 USD per barrel.

Sharing with VTC News, a representative of a petroleum retail business in Hanoi said that with this increase, the domestic retail price of gasoline will be adjusted up in the price management period tomorrow 11/5. The specific increase depends on the operator’s use of the Price Stabilization Fund (BOG). But it is expected that each liter of gasoline can increase from 1,000 to 1,600 VND / liter. If this increase is applied, the price of RON 95 gasoline will approach or exceed 30,000 VND/liter.

During the operating period on May 4, the Inter-Ministry of Industry, Trade and Finance adjusted the price of E5 RON 92 gasoline to the highest level of 27,460 VND/liter, an increase of 330 VND; RON 95 gasoline is 28,430 VND/liter; increased by 440 dong compared to the previous adjustment.

As for the price of oil, after adjusting, only diesel increased its selling price, by 180 VND, to 25,530 VND/liter. Kerosene price remained unchanged at 23,820 dong. And madut oil decreased by 240 VND per kg, to 21,560 VND.

The inter-ministerial ministry continues to not spend the fund to stabilize petroleum products, except for madut oil, the spending level is still 250 VND per kg. Instead, the authorities increased the amount set aside for the Stabilization Fund with RON95 gasoline to 400 VND/liter, and E5 RON92 gasoline to 300 VND. The rate of deduction to the Stabilization Fund for each liter of diesel oil is 100 VND, and kerosene is 119 VND.

According to businesses, it is likely that the Ministry of Finance – Industry and Trade will not deduct or have to spend the stabilization fund in this period. However, domestic gasoline prices still increase, but the increase may be less, corresponding to the level of stable fund expenditure if the inter-ministerial decides to release the fund.

Currently, each liter of gasoline and oil sold is subject to 4 taxes including value added (VAT 10%), import (10%), special consumption (10%) and environmental protection (RON95 gasoline is 2,000 VND due to 50% reduction).

However, according to experts, in order to stabilize gasoline prices, management agencies need to continue to consider solutions to further reduce taxes and fees.