VietNamNet Bridge - Among luxury car brands, Lexus suffered most from strict regulations stipulated in Decree 116 on conditions to manufacture and import cars to Vietnam.

VietNamNet Bridge - The small scale of the truck market, the low localization ratio, low demand and high taxes and fees are putting pressure on truck enterprises.

VietNamNet Bridge - Though continuing investment in their production bases, foreign-invested automobile manufacturers in Vietnam are placing high expectations on car imports.

VietNamNet Bridge - Vietnamese consumers thought if importers could satisfy the strict requirements stipulated in Decree 116, they would be able to buy cars at reasonable prices. That hasn’t happened. 

VietNamNet Bridge - Vietnam’s automobile industry needs support from government to reduce production costs and become a player in the regional automobile market, experts say.

VietNamNet Bridge - Experts say the Vietnamese car maker has included many outstanding features on its first models, which are being offered at incredibly low prices.

VietNamNet Bridge - The import tariff on cars with fewer than 9 seats from ASEAN countries has been cut to zero percent, but the car prices do not decrease, but are even higher than previously.

VietNamNet Bridge - The General Department of Customs (GDC) reported that 86 Chinese-made cars with fewer than nine seats arrived in Vietnam this month.

After a period of focusing on importing cars to sell domestically, foreign invested automobile manufacturers have returned to their initial work – assembling cars domestically.

VietNamNet Bridge - Vietnamese spend tens of trillion of dong every year to import luxury cars, though the average income per capita is at a medium level in Southeast Asia.

Vietnam spends billions of dollars to import car parts each year for domestic assembling, but it also exports billions of dollars worth of vehicle parts. 

VietNamNet Bridge - In the first six months of 2018, three big players – Hyundai, Toyota and Truong Hai – held three-quarters of the fewer-than-9-seat car market share.

VietNamNet Bridge - The success of automobile manufacturers is determined not only by product quality and design, but also by distribution networks and post-sale services.

Vietnam’s policy on tightening control over import and decreased domestic consumption as well as exports in South Korea have prompted South Korean investors to set their car part production bases in Vietnam.

Vietnam has been building up its automobile industry for the last 20 years, but the number of automobiles assembled in Vietnam is far below that of Thailand, Indonesia, Malaysia and the Philippines.

At Saigon Autotech & Accessories 2018, an automobile and motorbike support industry exhibition, CITY 18, an electric car drew visitors’ attention as it was a Vietnamese product made by Tran Minh Tam from HCMC.

VietNamNet Bridge - Chinese brands some years ago attended a series of automobile exhibitions and ran large advertisement campaigns. But a short time later, they left Vietnam.

VietNamNet Bridge - Vietnam is among the countries with the highest selling price of cars in the world. 

VietNamNet Bridge - While some automobile assemblers have stopped domestic production and shifted to importing products, others have poured more money into production lines in Vietnam.

Only Thailand and Indonesia have adjusted their regulations to satisfy Vietnam’s requirements to export cars to Vietnam. Imports from other countries still cannot meet the requirements stipulated in Decree 116.