Vietnam to Cut Electricity Prices by 2% and Scrap Gasoline Excise Tax from November 1

en.Wedoany.com Reported - On October 31, the Vietnamese government confirmed that it will reduce the national average retail electricity price by 2% and uniformly lower the special excise tax rate on all types of gasoline to 0% starting from November 1. After the adjustment, the average retail electricity price will be 2,159.9037 Vietnamese dong per kWh, excluding VAT. The zero special excise tax rate on gasoline will apply from November 1, 2026 to March 31, 2027.

Vietnam Electricity (EVN) is responsible for implementing the new average retail electricity price. The Ministry of Industry and Trade issued Decision No. 2892/QĐ-BCT on October 31, adjusting the electricity sale prices applicable to different customer categories and electricity retail units, with the new prices taking effect from November 1. The price reduction is implemented in accordance with Vietnam's current average retail electricity price adjustment mechanism and relevant electricity price structure regulations.

The gasoline tax adjustment is implemented pursuant to Resolution No. 45/2026/NQ-CP promulgated by the Vietnamese government on October 31. Under Vietnam's Special Consumption Tax Law, the tax rate was originally set at 10% for regular gasoline, 8% for E5 biofuel, and 7% for E10 biofuel; this adjustment uniformly sets all rates at 0%. The government stipulates that if the zero tax rate period needs to be shortened or extended, the Ministry of Industry and Trade shall make a proposal, which shall be submitted by the Ministry of Finance to the government for review.

The Ministry of Industry and Trade has simultaneously adjusted domestic gasoline retail prices. From midnight on November 1, E5 RON92 gasoline was reduced by 1,804 Vietnamese dong per liter, with the maximum retail price lowered to 24,223 Vietnamese dong; E10 RON95-III gasoline was reduced by 1,575 Vietnamese dong per liter, with the maximum retail price lowered to 24,159 Vietnamese dong.