Minh Tam
A customer gases up his car at a filling station in downtown HCMC. Fuel prices fall sharply on January 22 - PHOTO: MINH TAM
RON92 petrol is down by a hefty VND1,900 (8.9 U.S. cents) per liter, VND1,460 per liter of diesel and VND1,500 per liter of kerosene. Their respective prices are now VND15,670, VND15,170 and VND15,650 per liter after the second round of price reductions this year as ordered by the ministries of industry-trade and finance.
According to the ministries, the average prices of fuel products between January 6 and 21 decreased sharply against the 15-day period before. This resulted in the base price sliding, which comprises of the world’s average 30-day price plus taxes and costs and is used to set local fuel retail prices.
However, if the Ministry of Finance had not canceled its decision on January 21 to impose new import tax rates on fuels, steep fuel price cuts would not have happened.
A fuel wholesaler in the south told the Daily that the ministry on Tuesday issued Circular 06/2015/TT-BTC adjusting up import tariffs on fuel products by five percentage points to 40% for petrol, kerosene and heavy fuel oil and to 35% for diesel 0.05S in line with Vietnam’s commitment to the global trade club WTO.
If the new tax rates had taken effect on January 21 as planned, fuel prices would have declined by a maximum of VND1,450 per liter of RON92 petrol.
But the ministry on January 21 announced to invalidate Circular 06 and keep the current import tax rates imposed since January 7 to reduce input costs for the economy.
On January 6, the ministry raised import tariffs on petrol, kerosene and heavy fuel oil from 27%, 26%, and 24% to 35% respectively, and increased diesel import tax from 23% to 30%.
The first round of fuel retail price cuts this year took place on January 6 when RON92 petrol, diesel, kerosene and heavy fuel oil dropped by VND310 per liter, VND360 per liter, VND290 per liter and VND200 per kilogram respectively.
Data on the portal of the trade ministry showed fuel prices on the world market have become volatile since January 6.
Đăng ký: VietNam News
