The Ministry of Construction has proposed that by 2030, the average fuel consumption (CAFC) for passenger cars must reach 4.83 liters per 100 km. But what does this figure really mean, and is it too strict?

The ministry is seeking feedback on a draft of the Vietnamese Standard (TCVN) for road vehicle fuel consumption. It sets the average fuel consumption for cars under nine seats (including pickup trucks) at 4.83 liters/100 km, effective from 2030.

The draft has sparked debate, with concerns that the target may be too tough, posing challenges for carmakers and consumers alike.

Industry concerns, but not an impossible goal

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The 4.83 liters/100 km standard is an average, not a strict ceiling. Illustration photo.

The Vietnam Automobile Manufacturers’ Association (VAMA), which includes Toyota, Mitsubishi, Ford, Honda, KIA, Mazda, BMW, Peugeot, Suzuki, and Mercedes-Benz, said the goal is “too strict.” According to VAMA, 96% of gasoline-powered cars and 14% of hybrids currently sold would not meet the proposed standard.

Manufacturers argue the new rule forces them to invest in technology, revamp product lines, and even adjust production. However, some experts say predicting that 96% of vehicles would disappear is overly pessimistic.

Representatives from the Vietnam Register explained that 4.83 liters/100 km is an average benchmark, not a fixed ceiling. Automakers can still sell high-consumption models, as long as their overall fleet average meets the target. Companies can balance this by selling more fuel-efficient models or purchasing carbon credits. Although Vietnam’s carbon market is not yet in operation, the government is moving toward establishing one in the coming years.

The rule will only apply to newly produced, assembled, or imported cars after the standard takes effect, not to vehicles already in circulation. Each manufacturer’s goal will depend on its product lineup and fleet weight, making the target achievable while contributing to national emission reductions.

Officials stress the draft is still under review, with adjustments expected based on market trends and the growing adoption of electric vehicles. The aim is to balance international commitments with Vietnam’s practical conditions.

A push to stay competitive

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Global automakers already have hybrid and electric models with superior fuel efficiency. Photo: TMV

The bigger question is whether 4.83 liters/100 km is truly tough compared to global standards. This figure equals about 114 g CO2/km, which is higher than Europe’s 2021 benchmark of 95 g/km. By 2030, the EU target will be 43 g/km, China 59 g/km, Japan 83 g/km, and South Korea 65 g/km. Clearly, Vietnam is not moving too fast but rather catching up.

Most popular models in Vietnam, such as Toyota Camry and Vios, Mitsubishi Xpander, Honda CR-V, Mazda CX-5, KIA K3, or Ford Everest and Ranger, are also sold in stricter markets. Global automakers have already invested billions in efficient technologies, from turbocharged engines and advanced transmissions to hybrids and EVs. Many electric cars, with zero fuel consumption, are available worldwide. The question is whether these products will be brought to Vietnam.

The regulation will be phased in starting 2030, with an initial grace margin allowing fuel use up to 16% above the standard. This gives manufacturers at least five years to prepare. Compared with other markets, the transition is considered flexible, providing both time to adapt and pressure to innovate.

Experts believe this pressure is necessary to prevent Vietnam from becoming a “dumping ground” for outdated, fuel-hungry vehicles, while advanced, greener models go elsewhere. For consumers, the new standard means access to modern cars, lower running costs, and better urban air quality. Reduced transport emissions also align with Vietnam’s net-zero pledge by 2050 under COP26.

While the 4.83 liters/100 km standard poses challenges for traditional internal combustion vehicles, it should be seen as a catalyst. The policy could reposition Vietnam’s auto industry, accelerating technology adoption and deeper integration into the global market.

Hoang Hiep