Vietnam's auto market 'explodes', 36,585 cars sold in one month

Customers come to the showroom to see the car, the sales consultant is busy thanks to customers "putting down money" to buy the car quickly when the registration fee is reduced by 50% - Photo: CONG TRUNG

This is the latest data just updated by the Vietnam Automobile Manufacturers Association (VAMA) on October 10.

According to VAMA, total market sales in September reached 36,585 vehicles, meaning an average of about 1,220 vehicles were sold each day.

This boost is assessed by many auto companies thanks to the 4th 50% reduction in registration fees. Accordingly, Decree 109/2024/ND-CP, issued on August 29, stipulates a 50% reduction in registration fees for domestically assembled cars from September 1 for a period of 3 months.

As a result, the passenger car segment, which accounts for the largest proportion of the market, made a spectacular breakthrough with 28,973 vehicles sold, up 51% compared to the previous month. Commercial and special-purpose vehicles were no exception to the trend, recording increases of 25% and 48%, respectively.

In particular, domestically assembled vehicle sales increased sharply, reaching 19,500 vehicles, up 62% compared to August 2024.

The policy of reducing registration fees has created motivation and encouraged consumers to choose domestically assembled products.

However, not only domestic cars benefited, the sales of imported cars also grew impressively, reaching 17,085 cars, up 30% compared to the previous month. This growth shows that the Vietnamese automobile market still maintains its appeal thanks to the diversity and flexibility in product selection.

Sales consultants at many car dealerships in Ho Chi Minh City said the number of customers visiting showrooms increased sharply since the beginning of September, when the policy of reducing registration fees took effect. Showrooms are always crowded. Thanks to the great incentives, closing contracts is also faster and easier, helping sales increase by one and a half times compared to the previous month.

According to auto experts, the policy of reducing registration tax not only helps increase purchasing power but also relieves consumer hesitation in the context of high borrowing costs and bank interest rates.

Purchasing power has been "pent up" for a long time and when "unleashed" by timely policies, car consumption immediately exploded in September. It is forecasted that in the last months of the year, the auto market will continue to maintain its growth momentum when supporting factors such as tax policies, preferential loan interest rates and peak season consumer demand converge.

However, growth may not be as explosive as in September, when purchasing power has been largely released.

Therefore, flexible adjustments in sales strategies and marketing plans will be the key for businesses to maintain market heat and prepare for the year-end consumption season, Tet 2025.

Toyota sold the most cars in September

In September, Toyota led in car sales with 6,986 units. Other car manufacturers also recorded quite good sales including Mitsubishi (5,385 units), Kia (4,015 units), Ford (3,967 units), Honda (3,607 units) and Mazda (3,583 units)…

In the first 9 months of 2024, total vehicle sales of VAMA member units in the whole market reached 225,583 vehicles, an increase of 7.5% over the same period in 2023.

However, the above figures do not fully reflect the Vietnamese automobile market because brands such as Audi, Jaguar Land Rover, Mercedes-Benz, Subaru, Volkswagen, Volvo... do not publish business results information.

Source: https://tuoitre.vn/thi-truong-o-to-viet-nam-bung-no-36-585-xe-ban-ra-trong-mot-thang-20241010190840685.htm