Hanoi: Vietnam will begin selling E10 biofuel, a gasoline blend containing 10% ethanol, on a trial basis in three of its largest cities beginning August 1, according to an announcement from the Vietnam National Petroleum Group (Petrolimex) and Petrovietnam Oil Corporation (PVOIL), reports Vietnam plus.
The pilot marks an initial step toward a nationwide rollout planned for early 2026, as part of Vietnam’s broader push toward cleaner energy alternatives.
Petrolimex will introduce E10 at 36 fuel stations across Ho Chi Minh City, while PVOIL will begin sales at six locations, including four in Hanoi and two in Hai Phong.
Despite the upcoming launch, concerns remain about ethanol supply. Vietnam currently has six ethanol production plants with a combined capacity of around 500,000 cubic metres per year. However, only two facilities are currently operating, producing just 100,000 cubic metres annually.
Dao Duy Anh, deputy director of the Ministry of Industry and Trade’s Agency for Innovation, Green Transition and Industry Promotion, noted that Vietnam may need to import ethanol in the early stages. Major ethanol-producing countries such as the United States, Brazil, and Argentina, as well as regional suppliers like Singapore and South Korea, are expected to help fill the gap.
In the meantime, domestic ethanol producers are preparing for a potential rebound in demand. The Petrovietnam Central Biofuels Joint Stock Company is working to restart key production facilities, including the Dung Quat plant, which is expected to resume operations by late 2025.
The government sees the pilot as a crucial step toward reducing emissions and promoting renewable energy, while supporting the development of a domestic biofuel industry.