Ready to launch E10 bioethanol fuel from June 1st.

At this point, major petroleum wholesalers and domestic refineries are preparing the conditions to start selling E10 bioethanol fuel nationwide from June 1st.

Buying and selling E5 gasoline at a Petrolimex gas station on Tran Hung Dao Street, Hanoi. Photo: Le Dong/TTXVN.

The demand for ethanol will increase.
According to the Vietnam Biofuel Association, Vietnam currently has 6 fuel ethanol production plants with a total designed capacity of approximately 600,000 m³/year. If operating at 100% capacity, this output only meets about 40% of the demand for E10 gasoline blending – equivalent to 1.5 million m³ of ethanol per year. The nationwide rollout of E10 biofuel will lead to a rapid increase in ethanol demand, while the raw material supply for ethanol production remains unstable.
Statistics from the Ministry of Agriculture and Environment show that Vietnam currently has nearly 600,000 hectares of cassava with a production of over 10.5 million tons of fresh tubers per year. The scattered planting areas, low yields, and limited land conditions have resulted in a shortage of domestic raw materials. Therefore, diversifying the raw materials for ethanol production – the input for blending E10 gasoline – is necessary to avoid dependence on cassava.
According to Dr. Chu Tien Quang, former Head of the Rural Development Policy Department (Central Institute for Economic Management Research), research and planning of raw material areas for ethanol production should be expanded to include other raw materials with higher potential such as corn, rice bran, agricultural by-products, or even low-grade rice. Utilizing these resources not only reduces pressure on land but also creates added value for rice farmers, increasing the value of the rice industry. This shift also does not require large investments in new raw material areas, but can utilize existing infrastructure in the rice industry, a more circular and sustainable approach.
Mr. Nguyen Tri Ngoc, Vice President and General Secretary of the Vietnam General Association of Agriculture and Rural Development, also stated that the most important goal currently is to develop new cassava varieties with high yields, sustainability, and economic efficiency for growers. Only then can ethanol factories be self-sufficient in domestic raw materials, instead of having to import them. He emphasized that with advancements in biotechnology, improving plant varieties is entirely feasible in the future.
In addition, ethanol producers need to sign product purchase contracts with cassava farmers and cooperatives to form a sustainable raw material supply chain. As a bridge, the Vietnam General Association of Agriculture and Rural Development will actively participate in the formation of raw material areas for biofuel production, through linking, guiding, and supporting farmers in implementing these projects effectively and sustainably, Mr. Nguyen Tri Ngoc affirmed.
According to Mr. Cao Tuan Si, Director of Dung Quat Refinery, Binh Son Refining and Petrochemical Joint Stock Company (BSR) - a member unit of the Vietnam National Energy and Industry Group (Petrovietnam), with an expected demand of approximately 300,000 m3/month, BSR will increase its purchase of ethanol from domestic bioethanol producers, especially from plants within the Dong Xanh Joint Stock Company system. In addition, it will import if there is a shortage to ensure the supply of ethanol for blending E10RON95 bioethanol gasoline as required. Furthermore, to prevent segregation and ensure product quality according to Vietnamese National Standards (QCVN), BSR will add additives to the E10RON95 product.
According to Mr. Cao Tuan Si, the Dung Quat refinery has proactively upgraded its blending system, aiming to be ready to supply 100% E10 gasoline to the market from June 1, 2026. Currently, the refinery mainly produces RON95 (accounting for 83%) and RON92 (17%), and has also implemented the blending of bio-gasoline to ensure a smooth transition process.
In addition, BSR is actively coordinating with relevant parties to restart the Dung Quat Biofuel Plant as soon as possible, in order to proactively secure a portion of the local ethanol raw material for blending E10 RON95 gasoline.
Proactive infrastructure development
According to the Vietnam National Petroleum Group (Petrolimex), since the beginning of the year, the group has reviewed and upgraded its warehouse, tank, and blending equipment systems; ensuring the supply and quality of goods according to technical standards. In addition, Petrolimex has also proactively trained operating personnel; and strengthened communication and guidance to consumers about the benefits of biofuels.
In particular, Petrolimex has proactively worked with numerous domestic and international suppliers to ensure the supply of ethanol raw materials for blending E10 gasoline. Currently, the two domestic ethanol production plants only meet a portion of the demand; the remainder will be imported from major suppliers such as the United States, South Korea, Singapore, and the Philippines.
Currently, Petrolimex operates 7 biofuel blending facilities in key areas nationwide, with an estimated capacity of 6-6.1 million m³/year. The Group is reviewing and developing investment plans to renovate and upgrade technical infrastructure to ensure sufficient blending and supply capacity for the distribution system when the entire market switches to E10 gasoline from June 1, 2026.
However, the nationwide rollout of E10 gasoline still faces challenges. Specifically, according to national technical standards, the oxygen content in E10 gasoline must not exceed 3.7% by weight, meaning the base gasoline must have zero oxygen. Domestic supply of base gasoline meeting this standard currently only meets about 60% of demand; the remaining 40% must be imported at a higher cost than regular gasoline.
This poses a challenge to sourcing and could lead to an increase in the price of E10 fuel. Based on experience from the pilot program for E10 RON95-III fuel starting in August 2025, Petrolimex recommends that the Government consider adjusting the QCVN 01:2022/BKHCN standard, especially the "oxygen content" indicator, to better align with the domestic and regional base gasoline supply capacity.
According to a representative from Petrolimex, for the nationwide sale of E10 gasoline to be implemented smoothly, wholesale traders must proactively invest in completing the infrastructure for blending and mixing E10 gasoline according to the roadmap. In addition, applying preferential pricing policies in the initial phase is necessary to encourage consumption.
Regarding the second largest distributor in the market, Vietnam Oil Corporation (PVOIL) - a member unit of Petrovietnam - stated that it currently has 12 biofuel blending facilities operating stably across the country. Not only meeting internal needs, PVOIL also has the capacity to process and blend additional fuel for other distributors, affirming its capabilities and reputation in the field of biofuel blending.
Regarding ethanol supply, the main raw material for blending biofuels, PVOIL maintains close ties with domestic ethanol plants to ensure approximately 50% of domestic demand is met, with the remainder imported from reputable markets such as the US, Brazil, and Thailand. As a result, the ethanol supply remains stable, high-quality, and cost-effective, creating a solid foundation for the production of E10 gasoline.

Source: https://baotintuc.vn/kinh-te/san-sang-trien-khai-xang-sinh-hoc-e10-tu-ngay-16-20260216164631928.htm