On November 25, Saigon Giai Phong Newspaper organized a seminar on “Using E10 biofuel - Sustainable development” to provide a comprehensive perspective on the role, opportunities and conditions for E10 to become the main fuel in the coming period.
Biofuel is still difficult to develop
According to Mr. Nguyen Khac Van, Acting Editor-in-Chief of Saigon Giai Phong Newspaper (SGGP), the Government has recently issued a series of important policies to implement the commitment to zero net emissions by 2050. In particular, the development and use of E10 biofuel is considered a strategic step, both reducing emissions that pollute the environment and contributing to ensuring long-term energy security.
However, the actual implementation over the past time shows that biofuel still faces many barriers to development. Although Petrolimex and PVOIL have piloted E10 distribution in Ho Chi Minh City, Hanoi, Hai Phong, Da Nang and Quang Ngai since August 2025, market coverage is still quite limited. Many people are still concerned about engine durability, stability and differences compared to traditional mineral gasoline.
However, the actual results show a positive trend, after only three months of piloting, E10 production in many localities has increased from 12% to 18%. This figure is considered a positive signal, reflecting the improvement in awareness and consumer confidence in green fuel.
Based on the pilot results, the Ministry of Industry and Trade issued Circular 50/2025, stipulating that from June 1, 2026, all unleaded gasoline sold on the market must be blended into E10 gasoline. This is considered an important milestone with the goal of comprehensively converting to more environmentally friendly fuels. At the same time, the Ministry of Construction is finalizing the Vietnam CAFC Standard, aiming to strictly regulate the maximum fuel consumption for passenger cars from 2030 to promote the trend of using fuel economically and reducing emissions.
Although the mechanism and roadmap have been clearly established, the implementation of E10 on a large scale will face many challenges. One of the core problems is the large scale of vehicles, especially in urban areas such as Ho Chi Minh City. According to Associate Professor, Dr. Van Dinh Son Tho, the city currently has up to 8.5 million motorbikes, the group of vehicles that accounts for the largest fuel consumption rate in the country. Each type of vehicle has a different level of compatibility with E5 and E10 gasoline. Therefore, if applied simultaneously without understanding the current situation, it will easily cause disruption and risks.
According to Mr. Tho, to develop biofuel, Ho Chi Minh City needs to review, inventory and specifically classify the number of vehicles compatible, semi-compatible and incompatible with E10. This not only helps the management agency to develop a suitable implementation plan but also serves as an important basis for communication to the people, avoiding confusion or misunderstanding about fuel quality. At the same time, it is necessary to issue clear instructions on technical standards, usage and maintenance instructions for each vehicle line when using biofuel, especially for old vehicles or vehicles no longer supported by the manufacturer.
Besides technical factors, according to economic experts, another reason why biofuel development is difficult is the heavy dependence on domestic ethanol sources. Although Vietnam has potential from agricultural by-products such as cassava, corn, straw, etc., many ethanol factories have operated inefficiently or temporarily stopped due to lack of stable output. Therefore, in order for ethanol supply to meet national blending requirements, it is necessary to restore the production chain in a more sustainable direction, ensuring competitive prices and long-term stability.
In addition, the petroleum market is also strongly influenced by consumer habits. Although some people know that E10 is environmentally friendly, they are still used to using traditional mineral gasoline. Many retail businesses are not really interested due to concerns about loss costs, quality risks or low demand. This shows that the development of E10 does not only depend on management regulations but also requires a strong communication campaign, clear instructions and appropriate support solutions for both businesses and consumers.
Need to coordinate with many units
According to economic experts and businesses, in the coming time, to boost the consumption of E10 biofuel, Ho Chi Minh City needs to implement a system of synchronous solutions, from technical standardization, strengthening supply sources to reorganizing the market and supporting businesses. In particular, the role of state management agencies and coordination between ministries and branches are considered decisive factors for E10 to truly enter life.
Ms. Nguyen Thuy Hien, Deputy Director of the Department of Domestic Market Management and Development (Ministry of Industry and Trade) said that currently, the system of petroleum enterprises nationwide has a relatively good foundation to switch to E10 trading. Warehouse infrastructure, tanks and mixing centers in many localities have been upgraded synchronously, allowing enterprises to be ready to switch to E10 trading from June 1, 2026 according to the Government's roadmap.
Along with that, the Ministry of Industry and Trade is coordinating with the Ministry of Science and Technology and the Ministry of Transport to complete the standards for E5 and E10 gasoline, to ensure consistent fuel quality and reduce risks during the distribution process.
Another important factor is the development of raw material areas for ethanol production. Ms. Hien said that the Ministry of Industry and Trade recently proposed that localities guide farmers to build specialized growing areas to create a sustainable supply source for ethanol factories. Stabilizing domestic raw material sources not only helps to proactively produce but also reduces dependence on imports, thereby reducing price fluctuations and creating a competitive advantage for E10.
In addition, communication work is also required to be strengthened to help people understand the safety, efficiency and environmental benefits of biofuel. “If there is synchronous participation of departments and branches, combined with consumer consensus, E10 gasoline will be closer to the market,” said Ms. Hien.
From a business perspective, Mr. Giang Chan Tay, Director of Boi Ngoc LLC, said that Vietnam needs to look directly at the core issue: the fuel market will only truly turn green when traditional mineral gasoline is completely eliminated.
Mr. Chan Tay also cited Indonesia and Thailand, countries that have boldly closed the mineral gasoline market in stages, thereby creating conditions for biofuel and clean fuels to dominate the market. According to Mr. Chan Tay, if Vietnam still maintains two types of gasoline in parallel, E10 will have difficulty competing due to consumer habits and small differences in selling prices.
Another issue that Mr. Chan Tay particularly emphasized was the economic mechanism for retail businesses. The mixing and distribution of E10 can cause losses, making businesses reluctant to import goods if there is no reasonable compensation policy. Therefore, businesses also recommended that the Ministry of Industry and Trade consider adjusting the base price, adding a discount or commission mechanism to ensure that retail businesses do not suffer losses. "When retailers are confident that the loss costs are fully calculated and transparent, they will boldly bring E10 to the market," said Mr. Giang Chan Tay.
From the perspective of the professional association, Mr. Bui Ngoc Bao, Chairman of the Vietnam Petroleum Association, said that communication plays a key role. Consumers must be provided with full information to understand that E5 or E10 must meet mandatory technical standards, not harm the engine and be completely suitable for operating conditions in Vietnam. According to Mr. Bao, people's trust is the most important "touch point" to change fuel usage habits.
Currently, in order for E10 to become the main fuel in the future, some economic experts believe that Vietnam needs to continue to improve policies, raise technical standards, strengthen ethanol supply, and support businesses in financial and distribution mechanisms. If implemented in the right direction, E10 will contribute to reducing emissions, improving urban air quality and promoting sustainable energy transition in the coming years.
Source: https://baotintuc.vn/kinh-te/day-manh-tieu-thu-xang-e10-bang-giai-phap-dong-bo-tu-chinh-sach-den-thi-truong-20251125162433393.htm
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