Vietnam imports 15,000 cars in Jan-Feb, mostly from India: data
Vietnam imports 15,000 cars in Jan-Feb, mostly from India: data
India has become the top car exporter top Vietnam in the first two months of this year, accounting for nearly 30 percent of the total, according to customs data.
Vietnam spent US$320 million on importing 15,099 complete cars in the two-month period, a 146 percent increase in volume, and 173 percent rise in value compared to a year earlier, the Vietnam Customs said in a report released earlier this week.
Of these, 8,009 vehicles were cars with nine seats and fewer, which are collectively worth $80 million, whereas imports of trucks stood at 4,112 units and $102 million.
In February alone, Vietnam brought home 5,493 complete cars of all types, up 86 percent from the same period last year. The imports were worth $133 million, a 160 percent year-on-year increase. Both the rises in volume and value of car imports last month were the highest since 2009, according to the Vietnam Customs.
Vietnam’s imports of car spare parts in two months also rose 27 percent from a year earlier to $363 million.
South Korea exported the most cars to Vietnam in February, but the leader for the two-month period was India, with a total export of 4,363 units, or 28.89 percent of the total figure.
The car imports from India were worth $25 million.
South Korea came second with 3,395 cars and a turnover of $67 million, followed by China, 2,878 vehicles and $114 million.
Imports from South Korea, China and India in February alone were 1,242, 1,189, and 1,100 vehicles, respectively.
Even though it took the first place, the export value of India was much lower than those of China and South Korea, as the statistics illustrate.
Neither India nor South Korea enjoys tax preferential treatment when exporting cars to Vietnam, unlike such ASEAN countries as Thailand. Thailand is expected to be the largest source of cars for Vietnam in 2018, when import duty is cut to zero under the ASEAN Free Trade Area (AFTA).
Vietnam only imported 2,070 cars from Thailand in the first two months of this year, even though it doubled the figure in the same period in 2014.
However, the statistics are not a surprise to industry insiders, according to The Saigon Times Online.
Local car businesses said South Korean cars have seen stable growth in Vietnam thanks to their competitive prices compared to similar vehicles made in Japan or the U.S., plus the young design and numerous built-in features.
The Grand i10 produced by the Indian unit of South Korean carmaker Hyundai is attractive to many Vietnamese customers thanks to its competitive price, according to The Saigon Times Online.
The India-imported Ertiga, which sells at VND599 million ($27,915) in Vietnam, is also a good choice for local consumers.
