Specifically, the retail price of Petrolimex gas cylinder (including VAT) in March in the Hanoi market is 460,740 VND/12kg household cylinder; 1,842,760 VND/48kg industrial cylinder, an increase of 2,640 VND/12kg cylinder and 10,560 VND/48kg cylinder (including VAT) compared to February.
According to the Petrolimex Gas Corporation, although the average global gas contract price in March is at $635/ton, unchanged from February, due to exchange rate fluctuations, Petrolimex Gas Corporation has adjusted the price accordingly.
Currently, domestic gas supply can only meet about 60% of consumer demand, so domestic gas prices are still affected by the international market. Although the world’s imported gas price based on contracts (CP price) for March is officially fixed at $635, which is the same as the previous month, the USD/VND exchange rate has increased, so the domestic gas price for March has been adjusted by about 1,000 VND/6kg cylinder, 2,000 VND/12kg cylinder and 8,000 VND/45kg cylinder.
Domestic gas prices are influenced by the international market
With the slight fluctuation of gas prices in March, gas consumption for cooking may not be significant for households. However, for food service businesses such as restaurants, industrial catering centers, poultry farms, and hospitals – places that consume a large amount of gas, it is important to closely monitor and take advantage of every opportunity to purchase at wholesale prices.
In Asia, gas prices have reached the lowest level in nearly 3 years due to weak demand in both Asia and Europe, exerting downward pressure on prices. The spot gas price in Asia has dropped nearly 30% since the beginning of the year due to declining demand and abundant inventories in both East Asia and Europe.
According to the Gas Exporting Countries Forum (GECF), a government intergovernmental organization currently consisting of 19 member countries of the world’s leading natural gas producers, in 2024, global LNG demand is expected to increase by 1.5% and could reach 22% by 2050. GECF warns of the possibility of record-high and volatile spot LNG prices in both the European and Asian markets.
