Vietnam lowers import tax for lubes to 5%

Vietnam’s Ministry of Finance has decided to reduce the import tariff for gasoline, jet fuel and solvents to 12%, from the previous 17%, and for lubricants to 5%, down by half. The import tax cuts came on the back of higher global oil prices. Local fuel traders said they incurred a loss of 2,000 dong (10 US cents) for every liter of gasoline sold, although the ministry earlier boosted subsidies to the petroleum price stabilization fund. Enterprises received 1,200 dong (6 US cents), rather than 500 dong (2 US cents), as subsidy for each liter of gasoline sold. Petrolimex Deputy General Director Vuong Tien Dung said traders remained under pressure from rising global prices and foreign exchange rates. (December 2, 2010)