Consumers benefit greatly

The Government has just issued Decree No. 109/2024/ND-CP dated August 29, 2024, stipulating the registration fee for automobiles, trailers or semi-trailers pulled by automobiles and vehicles similar to automobiles manufactured and assembled domestically.

The policy of reducing 50% of registration fees for domestically produced cars is effective for 3 months from September 1, 2024 to November 30, 2024.

Accordingly, from the effective date of this Decree until November 30, 2024, the registration fee collection rate is equal to 50% of the collection rate prescribed in Decree No. 10/2022/ND-CP dated January 15, 2022 of the Government regulating registration fees; current resolutions of the People's Council or current decisions of the People's Committees of provinces and centrally run cities on local registration fee collection rates and amendments, supplements and replacements (if any).

From December 1, 2024 onwards, the registration fee collection rate will continue to be implemented according to the provisions of Decree No. 10/2022/ND-CP dated January 15, 2022 of the Government regulating registration fees; current resolutions of the People's Council or current decisions of the People's Committees of provinces and centrally run cities on local registration fee collection rates and amendments, supplements and replacements (if any).

This is the fourth consecutive year that domestically produced cars have enjoyed this policy. However, the implementation period this time is halved compared to previous adjustments of 6 months.

Officially reduce 50% of registration fee for domestically produced cars for 3 months

Regarding the policy of reducing 50% of registration fees for domestically produced cars, the Ministry of Finance said that in 2024, while the output and sales of domestically produced and assembled cars continuously decreased, the number of imported cars increased rapidly.

In addition, since the beginning of 2024, many imported car models have been heavily discounted by distributors, helping to increase sales, surpass and significantly narrow the gap compared to domestically produced cars. Vietnam has signed 17 FTAs, many of which commit to reducing import tax on completely built-up cars to 0%. Implementing these commitments will put pressure on imported cars with high quality, high technology, and competitive prices compared to domestically produced and assembled cars.

These are special difficulties in the current period. If we only rely on resources and individual stimulus solutions of each enterprise, it will not be enough to create stability in maintaining output and sales as well as the resilience to help the market grow again, evenly and sustainably.

"Continuing to reduce 50% of registration fees for domestically produced and assembled cars is one of the solutions to support finance, encourage consumption; restore the industry's growth rate; create jobs, increase income for workers, and ensure social security.

Therefore, in order to contribute to stimulating consumption, providing financial support to people and businesses, and creating momentum to restore growth for the domestic automobile manufacturing and assembly industry in the context of many economic difficulties and challenges, reducing registration fees for domestically produced and assembled cars is one of the necessary solutions," said the Ministry of Finance.

Intending to buy a car during this occasion, Mr. Vu Ngoc Anh (in Cau Giay, Hanoi) came to buy a car at the car showroom at 197A Nghi Tam, Yen Phu ward, Tay Ho district, Hanoi. He shared that he intended to buy a car about 2 months ago, but when he heard that the State would reduce 50% of the registration fee for domestically produced and assembled cars for 3 months, he decided to postpone it to wait for the official decision.

"Although the application period has been shortened to 3 months, people have benefited quite a bit. I am looking for a car that fits my budget, from 700-800 million VND, to finalize the deposit and sign a car purchase contract in the next few days," said Mr. Ngoc Anh.

Car handover ceremony for customers at Hyundai Pham Van Dong showroom.

Speaking to the Industry and Trade Newspaper, a representative of the Hyundai Pham Van Dong showroom said that after officially applying the policy of reducing 50% of registration fees for domestically produced and assembled cars, more people came to see the cars than before. Customers came to consult and buy cars in many different segments from 400-600 million VND and from 800 million to 1 billion VND, depending on their needs.

"With the 50% reduction in registration fees for domestically produced and assembled vehicles, people will certainly benefit the most. People will naturally postpone the time to enjoy preferential policies. Because in reality, some customers who heard that the State would reduce 50% of registration fees for domestically produced and assembled vehicles came to the showroom and stopped making deposits to wait for this decision," said a representative of Hyundai showroom Pham Van Dong.

A sales staff at a car showroom in Pham Hung shared: "With the policy of 50% reduction in registration fee for domestically assembled and produced cars, it will certainly stimulate people's shopping needs. Sales staff will also benefit because increased sales will of course mean better income."

Source: https://congthuong.vn/giam-50-le-phi-truoc-bao-o-to-san-xuat-trong-nuoc-nguoi-tieu-dung-huong-loi-lon-342542.html