Vietnam lowers fuel prices after diesel doubled since Middle East conflict


Vietnam has revised down fuel prices, with the cost of diesel lowered to a rate that is just below double that of the Feb 26 price. - AFP

HANOI: Vietnam adjusted its fuel prices for a second time on Wednesday (March 25), bringing down costs after the price of diesel was more than doubled since the start of the war in the Middle East, trade ministry figures showed.

Earlier Wednesday, diesel prices had skyrocketed about 105 per cent from Feb 26, two days before the US and Israel launched strikes on Iran.

The government raised the price to 39,660 dong (US$1.50) per litre as of midnight on Wednesday, up from 19,270 dong last month, according to trade ministry figures.

The price of 95-octane petrol was also raised nearly 68 per cent over the same period.

But, 14 hours later, the ministry revised down fuel prices, with the cost of diesel lowered to a rate that is just below double that of the Feb 26 price.

The cost of 95-octane petrol was also reduced, and is now about 49 per cent higher than before the Gulf war.

A surge in oil prices since the start of the conflict has sent fuel costs spiralling and sparked fears of shortages around the world.

Vietnam has recently asked for fuel support from several countries, including Qatar, Kuwait, Algeria and Japan, and on Monday signed a deal with Russia on oil and gas production in both countries.

The country's finance ministry proposed on Tuesday halving the environmental protection tax on gasoline and diesel.

Hanoi resident Nguyen Van Chi said Wednesday he had not driven his truck in the past two weeks, instead opting to cycle as much as possible.

"With this unbelievable price of diesel, I cannot even sell my truck as no one is going to use it," the 54-year-old businessman said. - AFP

 

 

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Vietnam , fuel prices , diesel

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