Recently, the price of gasoline has increased to historic peaks in Vietnam, which is becoming a topic of public opinion. It is worth mentioning that while countries in Southeast Asia have high gasoline prices, in Malaysia it is only 13,000 VND/liter. Not only that, the country also plans to sell to Vietnam at a low price that attracts many people’s attention.
Before this information, news from the Laborer said that the Ministry of Industry and Trade said that Malaysia is a major petroleum producer and exporter of petroleum. In this country, the state does not levy taxes on gasoline consumed domestically and the government has a policy of subsidizing prices for people.
According to Reuters, the Malaysian government has subsidized fuel, LPG and cooking oil about RM8 billion or USD 1.95 billion by 2021. This subsidy is aimed at setting the price of RON 95 gasoline to be maintained at 2. RM .05/liter (about VND 11,000), diesel at RM 2.15/liter (over VND 11,000), LPG at RM 1.90/kg (about VND 10,000) and cooking oil at RM 2.50/pack (more than 13,000 VND).
The Ministry of Industry and Trade said that without government subsidies, the price of petrol in Malaysia would be equivalent to the price of petrol in Vietnam. In particular, Malaysia’s petrol subsidy policy only applies to locals. Exported petrol here is sold at the common market price of the region.
Therefore, the information that Malaysia wants to export gasoline to Vietnam in the context of the domestic price of this item has increased to a record high, the Ministry of Industry and Trade confirmed that this is unlikely.
It is known that Malaysia is the country with the cheapest gasoline price in Southeast Asia – 0.47 USD / liter, according to data of Global Petro Price (updated on 30/5). This country is also in the top 10 countries with the lowest gasoline prices in the world.
In September 2021, Oil and Gas Business Development Director of the Ministry of Energy and Mineral Resources (ESDM) RI, Soerjaningsih, said that fuel prices in Malaysia are cheap because the country has implemented a pricing mechanism policy. automatic (APM) in fuel price setting.
This policy is aimed at stabilizing the price of gasoline (RON 95 gasoline, RON 97 gasoline) and diesel to a certain extent, through the application of sales tax and subsidies in different amounts. Therefore, changes in retail prices are affected by the amount of taxes and subsidies under the policies set by the Malaysian government.