HANOI: Tax cut on imports from the members of Association of Southeast Asian impact oil exports and diesel shipment from Singapore to Vietnam increased.
According to Vietnam’s fuel importer, recent free on board tenders from Singapore and Malaysia changed the flow of trade a bit. It will not last for long maximum at the end of April Government will reduce import tax for products.
The country lowered taxes on diesel imports from ASEAN members to 5 percent earlier this year. It levies a tariff of 30 percent on diesel and oil imports from most non ASEAN countries.
Importers of Vietnam are now demanding for “Form D”, which is a certificate of origin issued by respective country’s customs authority for proving origin of the oil product at the time of issuing spot tenders. This has started to redraw spot trade flows, although overall diesel imports volumes remain unaffected, traders said.
1.3 million tons of oil products imported by Vietnam during January to Febrauary,7.6 percent down as compared with the same period last year. Diesel and gasoline accounted most of the imports.
