The Long Bien market intersection in Ha Noi. Car sales are expected to totel 300,000 this year. — VNS Photo Thai Ha
November sales in the Vietnamese car industry hit 28,442 units, up 1 per cent versus October and down 4 per cent year-on-year, according to the Vietnam Automobile Manufacturers’ Association (VAMA).
Of the sales, passenger cars led with 18,016 units, following by commercial vehicles and special-purpose vehicles with 9,269 units and 1,130 units, respectively.
Local automaker Truong Hai Automobile Company (Thaco) reached the highest volume of sales with 10,001 units, 38.1 per cent of market share. It was followed by Toyota Motor Viet Nam with 6,130 units, or 23.3 per cent of market share and Ford Viet Nam with 2,585 units, 9.8 per cent of market share.
Other brands such as Honda, Chevrolet, Isuzu and Mitsubishi occupied a small volume of the domestic market.
According to the VAMA report, the 10 best-selling cars in November came from Thaco, Toyota and Ford, of which Toyota Vios led with 2,447 units sold.
In January-November, total sales reached 271,123 units, up 26 per cent compared with that of last year. It also saw the increases of 26 per cent 25 per cent and 33 per cent in passenger cars, commercial cars and special-purpose units, respectively.
December is expected to see significant sales as auto firms are planning to launch promotion and discount programmes.
Thaco Kia recently rolled out a discount programme, that caused shock in the domestic market as the highest discount is VND127 million (US$5,616) for customers who buy Kia units this month. The programme runs from December 5-31, with customers enjoying discount, accessories as gifts and one-year insurance deals.
Insiders said that with such trade promotion programmes in addition to increasing demand for new cars around the new year, the market would possibly sell 300,000 cars this year – the most ever in Viet Nam.
Import increases
Vietnamese auto businesses spent US$174 million to import some 10,000 complete built up (CBU) units in November, an increase of 1,000 units and $12 million in comparison with the previous month.
A report from the General Statistics Office (GSO) revealed that some 97,000 cars were shipped to Việt Nam during the January-November period, with the total value at nearly $2 billion. The figures marked a year-on-year decrease of 12.9 per cent in volume and 19.6 per cent in value.
The decrease in total value is said to be a result of the adjustment of special consumption tax early this year. As of January 1, the special consumption tax on imported cars is calculated keeping in mind their cost, insurance and freight value, plus current import tariffs.
Seven months later, the tax witnessed another adjustment as it increased by between 60 per cent and 150 per cent of the car value on vehicles with high engine displacement.
With the decrease in both volume and value in the first eleven months, total import value this year will be lower than last year.
The country last year imported 126,403 CBUs, with a value of more than $3 billion, according to the GSO. — VNS