Illustrative image (Source: VNA) Hanoi (VNA) – The Vietnam AutomobileManufacturers’ Association (VAMA) announced on January 10 that it sold 27,882 automobileunits in December 2017, up 13 percent from the previous month. Of the figure, 14,621 were passenger cars, up 14 percent;11,889 were commercial vehicles, up 13 percent while 1,372 were special-usevehicles, down 6 percent month-on-month. Also in December 2017, up to 20,047 units were assembled athome, a month-on-month increase of13 percent and 7,835 others were imported,marking a 11 percent rise. Last year, a total of 272,750 units were sold, down 10percent yearly. The sales of passenger cars, commercial and special-usevehicles decreased by 15 percent, 2 percent and 12 percent, respectively. As of late December, the sales of domestically-assembledunits fell by 19 percent to 194,960 while imported ones increased 9 percent to77,790. The falling sales were attributed to consumers’ wait fordecrease in automobile prices in early 2018 when automobile import tariff willslip to zero percent in accordance with the ASEAN Trade in Goods Agreement. In order to stimulate demand, almost all domestic assemblersand distributors offered a series of promotions and discounts. However,consumers still showed little interest. However, in mid October, the government issued DecreeNo.116/2017 ND-CP on tightening automobile manufacturing and trade.Later in November 16, 2017, it issued Decree No.125/2017/ND-CPon amendments and supplements to some articles of Decree No.122/2016/ND-CP onimport tariff and preferential import tariff, list of goods and their flat tax,compound tariff and out-of-quota import tariff. Accordingly, flat and compound tariffs on importedsecondhand automobiles will increase by thousands of USD from… [Read full story]
Despite the introduction of many great promotions, automobile sales in Vietnam haven’t met expectations.Launching many attractive programmes and new product lines, automobile firms have laid their hopes on somehow improving sales in the busiest shopping season at the end of the year. However, the results so far haven’t met expectations. Concerning luxury lines, Euro Auto, BMW distributor in Vietnam, has announced its stimulus programme for the multipurpose X series, with models X1, X3, X5, X6, in the last 10 days of November. Accordingly, the customers will be given 2-years insurance on the vehicle body, an interior care tool set and package…... [read more]
Tough competition The domestic automobile market has shown signs of recovery after automobile joint venture companies launched new models at competitive prices last month. In addition to Toyota Vietnam’s Innova and Mercedes-Benz Vietnam’s Sprinter, Honda Vietnam introduced a new model Civic re-named "2006 Car of the Year" by Motor Trend Magazine in the US. Civic model is expected to change the market share of automobile joint venture companies in Vietnam as Honda products have been familiar with Vietnamese consumers for years. With selling prices ranging between US$31,500 and US$37,000 for 1.8L and 2.0L units, Honda’s Civic is the main competitive rival of…... [read more]
Market expected to move flat this weekPhuong Thao By Phuong Thao - The Saigon Times Daily HCMC – Securities firms have predicted the market would move sideways or drop back slightly in this holiday-shortened week as investors would not be ready to come back to the market. Investors mostly closed their positions last Friday, leaving both indices moderately in negative territory. Several notable AGMs (annual general meetings) were held on the day but provided little motivation for investors. Both markets were slack in the final week of April, having some unconvincing rising sessions amid low liquidity. The VN-Index inched up…... [read more]
When the economy is developing, the automotive market is increasingly getting more attention. To meet the needs of the development, in recent years, Vietnam has repeatedly changed its policy for the automotive market, and no less than 10 times the policy has been modified. However, in most of them, the changes do not bring the desired effect; they even create unstability for this market. Skyrocketing taxes and fees The variation of the automotive market in terms of the macro can be calculated from 2002, it is time that the Ministry of Finance, Ministry of Industry and Trade and the Ministry…... [read more]
The lucrative Vietnamese $12 billion per annum automobile market could help rescue the Thai automobile industry, which is now facing difficulties. In early 2015, the Bangkok-based Chairatchakarn bought 2 million shares of HCM City-based Truong Long Automobile, becoming a large shareholder of the Vietnamese automobile firm with 22.6 percent of shares. Chairatchakarn is a Thai automobile enterprise which trades Toyota and Hino brand vehicles. Meanwhile, Truong Long is an automobile trader in Vietnam with sales of VND1.031 trillion in 2014. Thailand has taken its first steps towards the Vietnamese market. Meanwhile, just some days ago, Vichai Jirathiyut, chair of Thai…... [read more]
