Tag: automobile

According to the latest draft strategy submitted by the Ministry of Industry and Trade, out of the 1 million cars to be sold in Vietnam in 2030, around 350,000 units will be electric, hybrid, and solar-powered vehicles.

Plant in northern province to have investment of $800 million and begin production in late 2025.

Renewed licensing would help prevent disruptions to supply chains.

Many people unable to have vehicles inspected due to overloading at registration centers.

Centers in Hanoi and HCMC meeting just 40-50% of demand.

The Indian automotive industry is looking forward to active cooperation with Vietnam’s automotive sector, Mr Yuvraj Kapuria, Chairman - YBLF and Vice President - The Hi-Tech Gears Ltd, told VET.

Top 5 unchanged from 2020, but in different order.

Northern Vinh Phuc province is committed to creating the most favorable conditions possible for foreign investors and especially in the automobile sector. It is already home to major investors such as Toyota, Honda, and Daewoo Bus as well as hundreds of supporting manufacturers.

Indonesia has recently become a major supplier of motor vehicles to Vietnam. Imports from the country in September rose 66.4 per cent compared to August, according to the General Department of Vietnam Customs.

The Ministry of Finance has proposed extending the suspension of excise taxes on domestic automobile production, which would help businesses gain more financial resources to overcome the severe impact of Covid-19.

The fourth outbreak of Covid-19 dragged down sales in Vietnam’s auto market to a six-year low in August.

The Office of the Government has sent a document to the Ministry of Finance about registration fees for domestically-manufactured and assembled cars. One possible measure to help the industry is to re-apply a 50 per cent reduction on registration fees for such cars. According to the Ministry of Finance, while this reduction would lower State budget revenue, the amount of taxes and fees contributed by car businesses would increase significantly, possibly by three-fold more than the reduction.

Demand for motor cars in Vietnam fell 32 per cent in July compared to June. This is the fourth consecutive month sales have declined, in both imported and locally-assembled vehicles. It is forecast that demand may fall even further in the time to come.

As of the end of 2020, Vietnam had more than 40 enterprises engaged in the production and assembly of motor vehicles, some of which have actively participated in global automobile production chains. The country’s total assembly capacity is 755,000 vehicles a year, of which the foreign-invested sector accounts for 35 per cent and local enterprises 65 per cent.

The top 5 most popular automobile brands in Vietnam in the first half of 2021 are Hyundai, Toyota, Kia, VinFast, and Mitsubishi, which have all posted increased sales. This is a positive result amid the difficulties the industry has had to face.

A report from the research team at the United Nations Development Program (UNDP) in Vietnam pointed out that Covid-19 has not directly impacted the country’s car industry but instead presented it with more opportunities. They suggest that Vietnam quickly issue suitable policies so that its car industry can focus on a transfer to electric cars in the time to come. Electric cars are the future of Vietnam’s car industry, the report noted, and will mark the country’s position in the global market.

Vietnam’s auto imports have been substantially influenced by the ASEAN Trade in Goods Agreement (ATIGA). Since import taxes on completely built-up (CBU) vehicles were cut to zero from January 1, 2018 under the agreement, vehicles from Southeast Asia have continuously grown in terms of market share. In the first half of this year, Vietnam imported 79,353 CBU vehicles worth $1.73 billion. Those originating from Southeast Asian countries (mainly Thailand and Indonesia) dominated in terms of volume, accounting for 80 per cent.