VietNamNet Bridge – Automakers will continue to bring high-end cars into Vietnam although the domestic market is described as small and business development has not been favorable as expected, especially in the context of economic woes.

Euro Auto, official importer and distributor of BMW cars in Vietnam, said it will debut the Mini brand of BMW Group in the local market to exploit the segment of high-end small cars. The company will start distributing Mini cars in the fourth quarter at the first dealership for this brand in Hanoi.

In the near future, customers in Vietnam will also easily buy Peugeot cars assembled at home with after-sales service in accordance with the standards for this French luxury car line. It is because Truong Hai (Thaco) has recently partnered with French automaker to assemble and distribute Peugeot vehicles.

Under the cooperation agreement, five showrooms for sale, warranty and maintenance of Peugeot cars will be opened in Thai Nguyen, Hanoi, Vinh, HCMC and Binh Duong right in 2013. The distribution network will have around 15 showrooms by 2014.

In addition to locally-made cars, Peugeot automobiles will be imported directly from the factory in France.

Another luxury brand namely Lexus whose debut has been delayed due to the market downturn will officially make its market entry late this year or early next year. Since this is a Toyota brand, Toyota Vietnam will be the only distributor of this model in Vietnam.

Moreover, other renowned car manufacturers such as Lamborghini, Rolls-Royce and Bentley are also eyeing Vietnam’s automobile market.

In fact, the above brands are getting more popular in Vietnam. For example, the luxury Lexus was brought into the local market by many unauthorized importers.

However, since Circular 20/2011/TT-BCT issued by the Ministry of Industry and Trade came into force in mid-2011, those importing cars of nine seats or below are required to show letters of authorization from carmakers when going through import procedures. As such, unauthorized importers can no longer import the above cars.

Several showrooms selling cars imported by unauthorized traders have been shut down. In the coming time, Lexus of Toyota, Mini of BMW and Peugeot will be brought into Vietnam by official importers with dealers and after-sales services meeting the global standards.

However, to establish of a dealership for distributing cars of famous manufacturers, one must satisfy extremely stringent requirements, make careful preparations and cover huge investment costs.

Despite a market described as infant and unpredictable, Vietnam still attracts the attention of renowned automobile brands in the world.

According to auto traders, although the market is small, its real potential is very large as the number of car users is still low compared to the world’s level.

Source: SGT