According to the Vietnam Automobile Manufacturers Association (VAMA), sales of locally-assembled vehicles in May rose just 1 per cent compared to April, while sales of imported completely-built-unit (CBU) vehicles rose 7 per cent. Of note, May was the last month locally-assembled and manufactured vehicles were subject to a 50 per cent reduction on registration fees.
According to the General Department of Customs, more than 45,300 completely-built-unit (CBU) motor cars had been imported this year as of May 15, worth a total of $1.13 billion, down by more than 12,000 vehicles and nearly $170 million year-on-year. The policy of cutting registration fees for domestically-manufactured and assembled cars by 50 per cent is behind the decline.
The Ministry of Finance has proposed extending four periods, from June to September, for the payment of special consumption taxes on domestically-manufactured or assembled cars, with such support costing up to VND11.4 trillion ($497.23 million) in total.
Motor cars imported from China into Vietnam increased sharply in 2021, reaching 22,750 units, up 207 per cent compared to 2020 and worth $873 million. Vietnam primarily imported completely-built-unit (CBU) motor cars from Thailand, with nearly 81,000 units, and Indonesia, with more than 44,000 units.
The motor car market is becoming more dynamic as the end of the year approaches. More than 15,300 completely-built-up (CBU) motor cars worth $340 million were imported into Vietnam in November, of which 95 per cent were from Thailand, Indonesia, and China. As of the end of the month, imported CBU motor cars stood at nearly 145,000 units for the year as a whole, up 56.7 per cent year-on-year and mostly of nine seats or less.
