10:53 | 22/02/2019 Industry
Vietnam is considering scrapping import tariffs on crude oil and minerals.
|Vietnamese workers stand on a drilling platform in the South China Sea - Photo by Reuters|
The Ministry of Finance recently proposed eliminating the 5 percent tariff to "take away difficulties faced by businesses" that import crude oil.
It had earlier received a petition from state oil firm PetroVietnam to scrap the tariff.
The country’s first oil refinery, Dung Quat, is not running at full capacity due to a shortage of crude oil, the ministry said.
Saying non-renewable resources in the country are low, it pointed to a need to import minerals and ores to serve the growing demand from the manufacturing sector.
Mining output was down 2 percent last year, while crude oil production fell by 11.3 percent, according to the General Statistics Office.
The country imported $2.75 billion worth of crude oil last year, 5.7 times that of 2017, according to Vietnam Customs.