The decision to uniformly reduce taxes on gasoline and diesel fuel further demonstrates the close and decisive guidance of the Politburo, along with the flexible and proactive management of the Government and the timely involvement of relevant ministries and agencies. In the context of volatile global energy prices, the implemented solutions are not only immediate responses but also aim to stabilize the macroeconomy and control inflation.
Notably, along with tax policies, the proactive allocation of approximately 8,000 billion VND from the state budget to supplement the Fuel Price Stabilization Fund has contributed to increasing the operational capacity and supporting market stability during sensitive periods. As a result, domestic fuel prices have fallen significantly, even lower than many countries in the region, thereby contributing to market stability, reducing input cost pressure for businesses and consumer spending. The most direct and noticeable impact of lower fuel prices is the reduction in daily spending pressure, thus improving consumer sentiment.
Fuel costs are a fundamental expense in production, especially in the food industry. They are not only related to logistics costs but also impact many other input costs. Businesses share the view that the government's flexible tax adjustments, bringing fuel prices down as they are now, give them more room to maintain stable prices in the future.
The company stated that, in reality, recent fluctuations in fuel prices have led to price increases in some supply chain areas. When fuel prices fall, businesses have more grounds to renegotiate and bring costs closer to reality.
According to the Ho Chi Minh City Food and Beverage Association, during a period of rising input costs, many businesses are forced to narrow their profit margins to maintain selling prices. Flexible and timely management of fuel prices is considered a direct support factor for production and market stability.
Ms. Ly Kim Chi, President of the Ho Chi Minh City Food and Beverage Association, shared: "If input costs are not reduced, efforts to maintain prices at the retail stage will only be temporary. Besides the efforts of businesses, support and assistance from the State are crucial. Reducing gasoline and diesel prices is a very positive signal from the State, helping businesses alleviate concerns in production."
Experts estimate that the current reduction in fuel taxes could decrease budget revenue by approximately 7,200 billion VND per month. However, this revenue reduction is offset by the policy's ripple effect, which both lowers input costs and supports purchasing power and price stability. This creates room for production and business recovery, expands growth, and gradually contributes back to the budget.
