Beijing: Vietnam's National Assembly on Saturday passed the amended Law on Special Consumption Tax, approving for the first time an excise tax on sugary drinks, the Vietnam News Agency reported.

According to Namibia Press Agency, under the revised law, drinks containing more than 5 grams of sugar per 100 ml will be taxed at 0 percent in 2026, 8 percent from January 2027, and 10 percent starting in 2028. The legislation aims to regulate the consumption of sugary beverages as part of a broader health initiative.

The report also indicates that certain beverages such as milk, 100 percent fruit juice, coconut water, liquid nutritional supplements, mineral water, and nectar drinks will be exempt from the tax. This move is seen as a way to promote healthier drink options among consumers.

Effective from January 1, 2026, the law also broadens its scope by imposing taxes on air conditioners within specific capacity ranges, while maintaining existing tax rates on products like alcohol, tobacco, vehicles, and entertainment services.

During the National Assembly's meeting, delegates proposed additional items for taxation, including online games, cosmetic services, and plastic packaging. These proposals are currently under consideration for further discussion.