The reason why the GAC AION brand is sluggish and left Vietnam without fanfare

GAC AION - the electric vehicle brand known as China's "technology unicorn" after less than 6 months of presence in Vietnam has shown clear signs of a "silent withdrawal". The signboard was dismantled, the fanpage stopped updating, the only dealer switched to distributing BYD vehicles... All are signs of one truth: the Vietnamese automobile market is not easy for a new player, despite having a long history of achievements in the home country, to easily penetrate.

Illustration

From expectation to harsh reality

GAC AION is a subsidiary of GAC Group, one of China's largest energy and automobile corporations. After less than 4 years of establishing its first factory (2019), by 2023, AION had reached the milestone of 1 million vehicles sold globally (According to Reuters). With such impressive growth, AION's expansion into the Southeast Asian market, specifically Vietnam, is considered an inevitable step.

In October 2024, AION officially introduced electric vehicle models such as AION ES and Y Plus in the Vietnamese market. The authorized distributor is Harmony, and the first showroom located in District 7, Ho Chi Minh City also came into operation. The company had expected to expand to 20 dealers in 2025 and achieve sales of thousands of vehicles in the first year.

However, all of those plans are facing bankruptcy. According to the latest record from March 2025, AION's only showroom in Ho Chi Minh City has removed the brand sign and replaced it with BYD's identity. The official fanpage has not updated any information since the beginning of March. Harmony's representative said that they are "expanding the product portfolio" and not eliminating AION, but the reality at the showroom shows the opposite: AION models are pushed to the side, no longer having the central display position as before.

No plan to solve the branding problem

One of AION’s most serious strategic mistakes in Vietnam is its failure to invest properly in marketing and brand building. Despite being known as the “Chinese electric vehicle unicorn,” AION is completely invisible in the minds of Vietnamese consumers.

No large-scale media campaign. No regular product experience events. No presence at major exhibitions, fairs or technology playgrounds that other electric car companies such as VinFast, MG or BYD are taking full advantage of. The presence on social networks is also weak, lacking interaction and almost "abandoned" after the initial introduction phase.

Meanwhile, Vietnamese customers' consumption habits still emphasize the factor of "seeing with your own eyes and touching with your own hands". Customers will not buy a car, especially an electric car, which is still confusing, just because of advertising. Consumers need to experience it, and be guaranteed by a reliable service and after-sales system. AION has failed to build that first trust.

Not only is AION weak in brand, it also limits its growth potential by opening only one showroom in Ho Chi Minh City. This is completely contrary to the trend of developing a widespread sales network, a key factor in brand coverage and technical support for customers.

Previously, the company announced that it would expand the system to 20 dealers by 2025. But by the end of the first quarter of 2025, the number was still... one. Meanwhile, competitors such as VinFast, Hyundai, Toyota or even BYD all have distribution and maintenance systems spread across provinces and cities.

No coverage, no after-sales service, meaning no support. Even customers who want to buy do not know... where to buy, where to repair, how to charge, and after 5 years, who will still provide warranty. This is a huge barrier for any brand, especially in a specialized market like electric vehicles.

Zero sales, the painful reality

Sales can be seen as the clearest reflection of a brand’s health. And in the case of AION in Vietnam, the picture is completely bleak.

According to internal sources, during the nearly 6 months since its launch, GAC AION has not delivered any cars to customers. Some customers who had placed deposits had to withdraw because the company had no specific delivery plan. The goal of selling several thousand cars per year therefore quickly became a "daydream".

On the other hand, BYD is also an electric car company from China, but they continuously participate in specialized fairs, organize test drives in many provinces and cities, and at the same time deploy strong communication campaigns to increase brand coverage.

However, even with all these efforts, BYD is still struggling with psychological barriers and skepticism from Vietnamese consumers. In that context, it is both naive and unrealistic for a brand like AION, which has almost no outstanding activities, to expect to quickly gain the trust of customers. Therefore, it is not surprising that the Harmony dealer gradually shifted its focus to BYD and quietly "put aside" AION.

Finally, AION’s failure also comes from the most fundamental factor: trust. No strong brand, no regular presence, no dealers to guarantee after-sales service, all make Vietnamese consumers skeptical.

In the automotive industry, especially electric cars, trust cannot be bought with advertising. It comes from long-term commitment, from real service, and from user experience. AION has not done that. They came like a "shooting star", but not bright enough to be remembered.

Vietnam is one of the countries with the leading potential for electric vehicle development in Southeast Asia. But because of that, this is a market that requires car manufacturers to be really serious, methodical and have a long-term strategy.

The failure of GAC AION is a clear warning: good products are not enough. Vietnamese consumers want assurance, they want to see a long-term presence, they want to feel that they are investing in a brand, not just a car. And if they cannot provide that, then whether unicorn or tech giant, they cannot avoid the prospect of being out of the game.

Source: https://khoahocdoisong.vn/ly-do-thuong-hieu-gac-aion-e-am-ra-di-khong-ken-trong-o-viet-nam-post267131.html