VCCI proposes reforms to Vietnam petroleum business regulations

The Vietnam Chamber of Commerce and Industry (VCCI) has submitted several recommendations regarding a draft decree on petroleum business to the Ministry of Industry and Trade.

Regarding pricing, VCCI suggests streamlining the mechanism to ensure transparency and business autonomy. They argue that while businesses should determine their own profits, price formulas should serve as a basis for monitoring rather than a tool for imposing costs. VCCI also noted that requiring detailed analysis of price fluctuations for every adjustment could increase the compliance burden, particularly for smaller enterprises. Additionally, they recommended clarifying price regulations for remote areas to ensure they reflect actual business costs and avoid discrepancies between wholesale and independent distributor pricing.

On infrastructure, VCCI proposed removing the requirement for petroleum wholesalers to own a minimum of 40 retail outlets. They argued that this mandate could increase investment costs and shrink the independent retail network. Instead, VCCI suggested that regulators focus on actual supply capacity—which is already managed through minimum supply and 20-day reserve requirements—rather than asset ownership. They proposed allowing businesses to use warehouses and stores through ownership, co-ownership, or long-term leases to meet business conditions.