Action plan adopted to actualise auto industry development plan. (Photo: VNA)

The Prime Minister has ​issued an action plan to realise the automotive industry development as part of the Vietnam Industrialisation Strategy (VIS).

The VIS was laid down in the Vietnam-Japan cooperation framework through 2020 and a vision towards 2030.

The plan set to maintain domestic manufacturing and assembling of automobiles and spare parts, increase “healthy” auto demand with regard to infrastructure development and environmental impacts, develop supporting industries, cut down costs of production and logistics and take part in regional and global production networks by 2020.

It also involves new adjustments of auto taxes and fees and simplified import procedures for automotive components from overseas suppliers.

Import taxes will be cut on spare parts that are unable to be manufactured locally.

Auto and automobile components will be added to the list of key mechanical products encouraged for development while businesses in automotive supporting industries can access soft loans from the state fund for development of small- and medium-sized enterprises (SMEs).

The action plan also looks to develop special industrial clusters for the auto industry.

Universities and colleges are encouraged to re-design curriculum aligning with business demand regarding human resources development.

Furthermore, preferential policies will be offered to Japanese firms in Vietnam that provide apprenticeship programmes for Vietnamese trainees.

Vietnam’s automobile sales in September amounted to 21,366, up 32 percent from the same period last year, according to the Vietnam Automobile Manufacturers Association (VAMA).

The figure marked the 30th consecutive upward trending month for the market, which is forecasted to continue to rise in the last quarter of this year thanks to a number of incentives and automobile exhibition events.

By the end of September, total automobile sales had reached 163,443, up 53 percent from the same period last year.

Within the first nine months of this year, 83,000 imported cars had been sold worth nearly 2.1 trillion VND (93.3 million USD) were imported, up 88 percent in volume and 113 percent in value year-on-year.-VNA