Vietnam gasoline price drops for sixth time in a row

Retail gasoline prices in Vietnam slipped by VND370-430 ($0.02) a liter on Monday, the sixth consecutive decrease since the beginning of July, equaling levels at the beginning of the year.

The prices of RON95 and E5 RON92 gasoline fell by VND430 and VND370 to VND24,230 and VND23,350 ($0.99) a liter, respectively.

Meanwhile, diesel oil suddenly increased sharply by VND1,430 to VND25,180 ($1.07). Kerosene also dropped by VND1,210 to VND23,320 ($0.99) a liter. This is the first time ever diesel prices are higher than gasoline prices.

Retail gasoline prices in the country have witnessed 22 adjustments in the year to date, including 13 hikes and nine reductions.

The National Assembly on July 6 adopted lowered environmental taxes on fuel, applied from July 11 till the year-end, amidst globally increasing oil prices that put pressure on inflation.

The tax cuts - the second this year after the first in April - are expected to help the Vietnamese economy better navigate a global situation in which oil prices have soared.

Vietnam's consumer price index in the first eight months of the year rose 2.58% on average against the same period last year. Fluctuations in consumer prices are mainly caused by food and gasoline costs.

The World Bank and IMF expect Vietnam’s 2022 inflation to be contained at a maximum 4%, the State Bank of Vietnam's target.