The Ministry of Industry and Trade (MOIT) is currently seeking public feedback on a draft circular detailing new regulations for fuel trading, following a recently proposed government decree aimed at reforming Vietnam’s petroleum industry.

Mandatory data integration for fuel businesses

One of the key provisions in the draft circular is the requirement for major fuel trading enterprises to connect their business data with the Ministry of Industry and Trade. This includes: Infrastructure and facilities data related to fuel trading. Distribution network data of fuel companies. Inventory, import, and export data of petroleum products.

All data must be electronically integrated with the MOIT’s digital system, ensuring real-time tracking and transparency. The Domestic Market Department will review submitted data before forwarding it to the Department of E-commerce and Digital Economy, which will verify and confirm whether businesses have successfully completed the integration.

The draft circular also establishes detailed regulations for various fuel trading contracts, including: Retail agency contracts for fuel distribution. Franchise contracts for fuel sales. Wholesale and retail purchase agreements.

These contracts must be formalized in writing and must clearly outline essential details such as: Names, addresses, and tax codes of both parties. The quantity, quality, and types of fuel involved. Terms of delivery and payment.  Agency commission fees and franchise fees.

Export restrictions and price stabilization mechanisms

The MOIT will regulate fuel exports to ensure domestic supply remains unaffected by global market fluctuations. Major fuel traders and producers must register export plans with the MOIT, which will approve them based on domestic consumption needs and supply balance.

Additionally, only licensed fuel traders will be allowed to engage in temporary fuel imports for re-export or transshipment.

While the draft circular outlines a pricing structure, the MOIT has clarified that it will not publicly disclose international fuel prices. Instead, fuel companies must calculate their own selling prices based on regulated cost structures and report price adjustments to the provincial authorities, the MOIT, and market management agencies.

In cases of market volatility, emergencies, or economic crises, the MOIT will coordinate with the Ministry of Finance and other relevant agencies to implement fuel price stabilization measures in accordance with Decree No. 85/2024/ND-CP.

Hanh Nguyen