The auto market moved against the normal trend, declining in November after strong growth in the previous month, but automakers are still expecting better sales in the months before the Tet holiday, reports the Saigon Times daily.
The market is normally busier at the final months of a year due to increasing demand for personal cars. However, despite a strong growth rate in October with over 10,280 units sold, auto sales of manufacturers in November fell by 1 percent.
Toyota Vietnam, the leading automaker on the domestic market, sold 2,767 units in November, or a drop of 434 units from the previous month. Meanwhile, the sales volumes at Ford Vietnam and GM were 780 and 450 units, down 110 and nearly 10 units respectively.
Honda Vietnam and Vinastar sold more cars in November with 709 and 313 units respectively compared to October but their sales increased slightly.
The Vietnam Automobile Manufacturers’ Association (VAMA) said 10,148 units were sold last month, which was around 1 percent lower than that of October but still increased by 6 percent from last year’s same month.
In November, the auto market did not follow the common rule of previous years, when the demand often rises towards the year’s end.
The falling sales can be attributed to consumers in Ho Chi Minh City awaiting a steep fall in the registration fee for small vehicles from the current 15 percent to 10 percent, effective from January 1, auto manufacturers explained.
At the ongoing meeting, the Ho Chi Minh City People’s Council agreed on the proposal to cut the registration fee on under-ten-seat vehicles to 10 percent instead of 15 percent. The new fee is lower than that of 12 percent in Hanoi.
Auto traders in Ho Chi Minh City forecast this month’s sales volume will drop as buyers will wait until next year to avoid the current high fee.
The Government’s policy of lowering the auto registration fee has partly stimulated the market.
According to VAMA, auto sales can hit 109,000 units this year due to changes in the fee and tax policies as well as economic recovery.-VNA
The market is normally busier at the final months of a year due to increasing demand for personal cars. However, despite a strong growth rate in October with over 10,280 units sold, auto sales of manufacturers in November fell by 1 percent.
Toyota Vietnam, the leading automaker on the domestic market, sold 2,767 units in November, or a drop of 434 units from the previous month. Meanwhile, the sales volumes at Ford Vietnam and GM were 780 and 450 units, down 110 and nearly 10 units respectively.
Honda Vietnam and Vinastar sold more cars in November with 709 and 313 units respectively compared to October but their sales increased slightly.
The Vietnam Automobile Manufacturers’ Association (VAMA) said 10,148 units were sold last month, which was around 1 percent lower than that of October but still increased by 6 percent from last year’s same month.
In November, the auto market did not follow the common rule of previous years, when the demand often rises towards the year’s end.
The falling sales can be attributed to consumers in Ho Chi Minh City awaiting a steep fall in the registration fee for small vehicles from the current 15 percent to 10 percent, effective from January 1, auto manufacturers explained.
At the ongoing meeting, the Ho Chi Minh City People’s Council agreed on the proposal to cut the registration fee on under-ten-seat vehicles to 10 percent instead of 15 percent. The new fee is lower than that of 12 percent in Hanoi.
Auto traders in Ho Chi Minh City forecast this month’s sales volume will drop as buyers will wait until next year to avoid the current high fee.
The Government’s policy of lowering the auto registration fee has partly stimulated the market.
According to VAMA, auto sales can hit 109,000 units this year due to changes in the fee and tax policies as well as economic recovery.-VNA
