Wedoany.com Report-Aug. 21, Vietnam’s Ministry of Industry and Trade (MoIT) has proposed a draft circular to implement E10 biofuel as the standard fuel for petrol-powered vehicles nationwide starting January 1, 2026. The initiative outlines a roadmap for integrating biofuels with conventional fuels to support sustainable energy goals.

Since August 1, several key fuel distributors have piloted the sale of E10 in HCM City, Hà Nội and Hải Phòng.

The draft specifies that E10, a blend of fuel ethanol and mineral petrol, will replace traditional petrol options, such as RON 95-V, for motor vehicles from 2026. Looking ahead, the MoIT plans to transition to E15 or other biofuels by January 1, 2031, depending on factors like vehicle technology, socio-economic conditions, biofuel production, import capacity, and energy security needs.

Since August 1, 2025, major fuel distributors have been piloting E10 sales in Ho Chi Minh City, Hanoi, and Hai Phong to assess its viability. Đào Duy Anh, deputy director of the MoIT’s Department of Innovation, Green Transformation, and Industrial Promotion, stated: “From January 1, 2026, when E10 is rolled out nationwide, conventional mineral petrol, including RON 95-V, will no longer be available.”

To encourage adoption, the MoIT is collaborating with the Ministry of Finance to propose a reduction in environmental taxes on biofuels, citing their benefits in reducing greenhouse gas emissions. The transition to biofuels aligns with Vietnam’s commitment to cleaner energy solutions, building on the successful introduction of E5-RON92, which has been widely used since 2014 without reports of adverse effects on engine performance or durability.

The MoIT is currently seeking public feedback on the draft circular to refine the plan. Studies confirm that ethanol blending, as used in E5 and planned for E10, poses no harm to vehicle engines, supporting the shift to biofuels. This move is expected to enhance energy sustainability while meeting the needs of Vietnam’s growing transportation sector.

The nationwide adoption of E10 represents a significant step in Vietnam’s efforts to reduce reliance on traditional fuels and promote environmentally friendly alternatives. By engaging stakeholders and leveraging pilot programs, the MoIT aims to ensure a smooth transition to biofuels, supporting both economic and environmental objectives.