Vietnam is set to overhaul its petroleum trading regulations as Prime Minister Lê Minh Hưng has mandated the Ministry of Industry and Trade to finalize a draft decree by November 10, 2026. This directive aims to enhance fuel distribution, bolster supply security, and improve market transparency.
The proposed reforms, as outlined in the directive issued on October 21, will involve collaboration between the Ministry of Industry and Trade and other government departments to shape the new regulations. A significant focus is on reducing the number of major petroleum traders while increasing their capacity to secure supplies and maintain reserves. Additionally, the reforms will clarify the responsibilities of traders to prevent fuel shortages.
Vietnam also plans to streamline its petroleum distribution network by eliminating unnecessary intermediaries and reducing operational costs, with the goal of fostering a more efficient and transparent market that minimizes disruptions during the transition period.
A pivotal aspect of the reform is the approach to fuel pricing. The new framework would enable petroleum businesses to set and announce retail prices within their distribution networks, guided by a government-established pricing formula. This marks a shift from the existing system of periodically published benchmark fuel prices. Businesses would be required to declare any price adjustments and notify the authorities, ensuring compliance and market oversight.
The draft decree includes measures to guard against speculation, market manipulation, and unwarranted price hikes. The government intends to retain its supervisory role while allowing prices to better reflect market conditions. Authorities would still have the means to intervene when necessary to stabilize the market and protect consumers.
Moreover, the Ministry of Industry and Trade has been tasked with ensuring a steady petroleum supply under all circumstances and working with other agencies to prevent disruptions. Through these efforts, Vietnam aims to strengthen its petroleum regulatory framework, improve distribution efficiency, and safeguard national energy security, ultimately moving towards a market-oriented system under state management.