Vietnam saw a steep 50 per cent rise in car sales for the month of September. The Vietnam Automobile Manufacturers Associaton (VAMA) released its monthly sales report for September last October 10.
SALES STATISTICS
The September sales report recorded 32,023 units sold overall. This is a 30 per cent increase from September of last year. Of these 32,023 units, 24,714 are passenger vehicles, 6,198 units are commercial vehicles, and 1,044 units sold were hybrid vehicles.
VAMA’s findings expressed a 33.5 per cent increase in year-on-year sales for September. For overall sales from January to September in 2024, VAMA recorded 193,854 sales. This result is only a 2 per cent positive difference from the 190,130 units that were sold last year in the same period.
Toyota remained Vietnam’s frontrunner with 19.1 per cent of the vehicle market share. Toyota sold 6,986 vehicles in September, compared to August’s 4,700 recorded sales. From January to September of 2024, Toyota sold 40,503 vehicles overall, a YoY 5.2% increase from January to September 2023’s 38,490 units sold.
Mitsubishi follows behind Toyota with 14.7 per cent market share. However, the Japanese manufacturer leads the largest growth between YoY comparisons among foreign brands with 88.1 per cent difference in growth. In September of the previous year, Mitsubishi sold 2,863 vehicles but sold 5,385 units the following year.
*Thaco Kia follows Mitsubishi in Vietnam’s car market share with 11 per cent. Last year, Thaco Kia assumed 14.8 per cent market share compared to Toyota’s 16.2 per cent market share at the time. Thaco Kia’s lowered market share is accompanied by 4,015 vehicles sold, only a 6.9 per cent increase from September 2023’s 3,757 units sold.
Last year, Thaco Kia was in second place after Toyota for units sold during the January to September period. As this year’s second-placer, Ford’s January to September 2024 sales recorded 28,038 units sold, behind Toyota. In September 2024 alone, Ford sold 3,967 units, a 12 per cent increase from last year’s 3,118 units.
Dothanh Auto, a local car manufacturer, grew by 120.7 per cent. From last September 2023’s sales of 92 vehicles, this September 2024’s sales were recorded to be 203 units sold.
Another local vehicle manufacturer, Vinamotor, saw an 80 per cent growth in sales comparing September 2023 to September 2024. Last year’s September sales saw Vinamotor sell 15 vehicles, while 2024 recorded 27 units sold.
Isuzu also saw substantial growth with 63.7 per cent. From 678 units sold in September 2023, to 1,110 vehicles sold in September the following year.
FOREIGN VS. LOCAL
September 2024’s sales volume is a strong comeback from the country’s weaker sales from earlier this year. In the previous months, Vietnam saw a rise in car sales by varying degrees. Their mid-late year performance is a drastic change from their performance in February to March earlier this year.
The growth in Vietnam’s car sales can be attributed to discounted deals from auto sellers during September. The Vietnamese government’s three-month 50 per cent vehicle tax registration discount initiative is also a contributing factor to higher sales.
As the leading brand in Vietnam’s car market, Toyota’s most popular vehicle for this period was their HiLux pick-up truck. On the other hand, Ford’s Everest, Ranger, and Transit dominated the company’s sales. Additionally, the introduction of their XForce SUV significantly boosted Mitsubishi’s sales.
Previously, the Vietnam’s locally assembled cars dominated vehicles sales but VAMA’s present data shows that sales of imported vehicles were stronger. This development only occurred in 2024. The market’s preference for imported vehicles can be traced back to a popular opinion among buyers: vehicles assembled abroad are of higher quality than those assembled locally. Thus, Vietnam car buyers’ strong preference for imported vehicles create a willingness to pay more money for foreign cars.
*Note: Thaco, or the Truong Hai Group Corporation, is responsible for the assembly and distribution of multiple car manufacturers in Vietnam, including Kia and Mazda.
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