Ten years ago, D-segment sedans were considered the "standard" choice for middle-class customers in Vietnam for business and personal use. 

In 2025, D-segment sedan sales were sluggish, and many models had to leave the market. Instead, the C-segment SUV/crossover (C-SUV) segment, with nearly equal prices, is entering its strongest development phase ever in terms of sales, product variety, and influence over other segments.

Reports from VAMA (Vietnam Automobile Manufacturers Association) and Hyundai on 2025 sales showed that the C-segment SUV/crossover continued to record high and stable consumption. Many models were not only frequently among the market's bestsellers but also flagship products leading their respective brands' sales. 

In this segment, Mazda CX-5 remains the most prominent name. Despite being on the Vietnam market for many years, the model assembled and distributed by THACO continues to maintain strong appeal thanks to its eye-catching design, stable handling, and a price considered "affordable" for the majority of Vietnamese customers.

Throughout 2025, CX-5 consistently ranked among the best-selling vehicles and finished third among internal combustion engine models, with sales of 17,262 units, up 16.8 percent from 2024.

Another frequent top seller was Ford Territory. It was not the American brand's bestselling model in Vietnam, but the Territory quickly found its footing and closed 2025 with 12,768 units sold, a 57.1 percent increase over 2024.

Returning to the race with impressive growth was the South Korean Hyundai Tucson. In 2025, Hyundai Thanh Cong sold 9,243 Tucsons, up 39.2 percent from the previous year. This figure helped the Tucson become the Korean brand's highest-selling model in Vietnam, surpassing heavyweights like the Accent and Creta.

Among the top models in this segment, Honda CR-V was a rare name to see a sales decline in 2025. Annual sales reached 6,224 units, a 6.9 percent decrease compared to 2024.

Beyond familiar models, the segment witnessed a wave of new entries this past year, especially electric and hybrid models. Notably, Mitsubishi Destinator, a new C-segment high-clearance model introduced in December 2025, is considered a 7-seater version of the Xforce. In its first month, Destinator reached sales of 2,377 units and is expected to follow the success of the Xpander and Xforce.

In addition to Destinator, many models from Europe and China appeared or refreshed in the past year, such as Skoda Karoq, Lynk & Co 01, Omoda & Jaecoo J7, and BYD Sealion 6. This is not to mention the electric vehicle group led by the VinFast VF 7 and VF e34, along with new names like the Geely EX5 and BYD Atto 3, making the C-SUV segment more vibrant and diverse than ever.

Tremendous pressure on D-segment sedans

A core reason for the C-SUV boom is that the models are suited to Vietnamese demand and their financial capability. They have a common price range from VND750 million to VND1 billion, or a little higher for premium versions, with flexible usability. Beyond pricing, C-segment SUV/crossover models are also better aligned with Vietnam’s traffic conditions and vehicle usage habits.

Higher ground clearance makes it easier to navigate congested urban areas, poor road conditions, or flooded zones. Spacious interiors and large cargo compartments also meet the needs of young families, a customer group accounting for a growing share of the market.

As the C-segment high-clearancevehicle category continues to grow and attract large numbers of buyers, the other market segments have been noticeably squeezed. Within the VND750 million to over VND1 billion range, C-SUVs have emerged as the best choice in terms of design, space, and versatility, putting significant competitive pressure on mid-size MPVs and D-segment SUVs.

However, the segment most heavily affected is the D-segment sedan. At similar price levels, C-SUVs offer superior ground clearance, flexibility, and adaptability to real-world usage conditions, prompting more buyers to move away from D-segment sedans. As a result, sales in this segment have continued to decline, with some models being discontinued.

However, Toyota Camry still could maintain the sales of 2,489 units in 2025, up 86 percent from 2024. Kia K5 sold just 267 units, down 13.9 percent year on year. The remaining two models, the Mazda6 and Honda Accord, fared even worse and were both discontinued in Vietnam.

Market experts note that while D-segment sedans still offer advantages in terms of solid driving feel and comfort on long journeys, they are increasingly revealing limitations in daily use, particularly in urban environments. Long body dimensions, low ground clearance, and limited flexibility have made sedans less suitable for many users.

Hoang Hiep