The Vietnam Automobile Manufacturers’ Association (VAMA) has announced that its members sold 25,159 vehicles in June, down 42 per cent from May ending three consecutive months of gains.
The car part shortage crisis in the world has affected the Vietnamese market as car buyers have been told to wait for deliveries.
Hanoi continued to lead cities and provinces in the number of cars bought in 2021, followed by HCM City and Hai Phong. Nghe An province was among the top four car buyers.
2021 was a difficult year for car manufacturers in Vietnam. The total sales of the market reached over 410,000 cars.
Vietnam’s rising income per capita would soon move cars from a luxury product with a passenger vehicle density of 34 per 1,000 to a more ordinary one with a density level comparable to countries in the region.
As Vietnam has set new policies to encourage domestic production, car manufacturers have resumed the assembling of some bestsellers in Vietnam to enjoy incentives.
After the Government’s move to lower car registration fees by half took effect more than a week ago, the domestic car market has picked up.
Instead of reducing taxes and fees, the State needs to set reasonable policies to develop automobile supporting industries, experts say.
Despite sharp price cuts of hundreds of million of dong, cars still cannot find buyers. The automobile market is predicted to see a minus 15 percent growth rate this year.