BSR has officially launched its E10 biofuel supply chain with a target production volume of up to 100,000 cubic meters per month, supported by an integrated distribution network combining road and maritime transportation. Through the direct integration of ethanol production, blending operations, and refining infrastructure at Dung Quat, alongside efforts to diversify feedstock sources, BSR is strengthening supply security, reducing logistics costs, and accelerating Vietnam’s transition toward a greener energy future.
On May 20, 2026, the first shipment of 12,000 cubic meters of E10 biofuel gasoline was officially loaded at the dedicated terminal of the Dung Quat Refinery and transported by sea to Petro Trading Import-Export Joint Stock Corporation (Thanh Le). The milestone marks a significant step forward in Vietnam’s energy logistics network ahead of the nationwide rollout of E10 fuel. The shipment also demonstrates the ability of Binh Son Refining and Petrochemical Joint Stock Company (BSR) to rapidly respond to growing demand for sustainable fuels, as the company targets a stable monthly supply of 80,000-100,000 cubic meters of E10 RON95 beginning in May 2026.
To support large-scale retail distribution from June 1, 2026, the Dung Quat Refinery is currently operating at 75-80% capacity and is expected to increase utilization to 90% during June before gradually moving toward full-capacity operations. A key strength of this supply chain lies in the direct integration between the Dung Quat Biofuel Plant and BSR’s refining infrastructure, creating a fully connected value chain from ethanol production to blending and fuel distribution. According to Le Hai Tuan, Deputy Director of the Dung Quat Refinery, ethanol produced by BSR Biofuel Central Joint Stock Company (BSR-BF) is transferred directly into the refinery’s receiving system without requiring complex intermediate transportation stages. This geographical advantage significantly reduces logistics costs, shortens lead times, and minimizes operational risks throughout the regional energy supply chain. Following recent maintenance and system upgrades, the ethanol facility has achieved a production capacity of approximately 330 cubic meters per day.
BSR’s distribution model is designed around a flexible combination of road and maritime transportation to optimize inventory management and expand market coverage. Under the company’s allocation plan, approximately 15,000-20,000 cubic meters of E10 RON95 will be delivered via tanker trucks, while the majority of production will be distributed through coastal shipping services to major fuel distributors nationwide. Operating both transport modes simultaneously enables BSR to maintain uninterrupted product flows while ensuring strict quality standards before fuel reaches end users. By mid-May, the company had already completed blending operations and quality certification for the first 18,000 cubic meters of E10 biofuel, positioning the product for commercial deployment.
From an upstream perspective, the long-term sustainability of the E10 supply chain depends heavily on feedstock sourcing strategies. Cassava chips currently serve as the primary raw material for ethanol production and are sourced from Vietnam’s Central Highlands as well as imported through logistics corridors connecting Laos and Cambodia. To reduce dependence on a single feedstock source, BSR-BF is also evaluating opportunities to import high-yield corn when freight rates and market conditions become favorable. Combined with process optimization initiatives, enzyme efficiency improvements, and circular-economy solutions for by-product utilization, these efforts are strengthening production capabilities while supporting Vietnam’s broader transition toward greener logistics and sustainable energy systems.
The extensive storage tank network, pipeline infrastructure, and dedicated port facilities at Dung Quat highlight the scale of a modern industrial logistics hub. However, the successful adoption of green fuels will ultimately depend on seamless coordination across the entire supply chain, from agricultural feedstock production and refining operations to downstream distribution networks. Industry experts at Dung Quat emphasize that logistics is no longer merely a supporting function but a fundamental enabler that allows environmentally friendly fuel products to reach the market in a stable, scalable, and economically viable manner.
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