Chinese vehicles flood into Vietnam, keep market on tenterhooks
Chinese vehicles flood into Vietnam, keep market on tenterhooks
Over 10 Chinese car brands, especially electric vehicle (EV) makers, have entered the Vietnamese market, providing plenty of options but also sparking concerns over safety and charging infrastructure.
Many Chinese EVs have been introduced to Vietnamese customers in 2024. Photo: Cong Trung / Tuoi Tre |
Among the Chinese automakers to hit the Vietnamese market are BYD, Geely, Chery, Great Wall, SAIC, and Wuling.
In early November, the Wuling Bingo EV, assembled by Vietnamese auto firm TMT Motors, made its debut in Vietnam at a starting price of just VND349 million (US$13,740) each.
Vo Van Hoang, an expert on Vietnam’s auto industry, said that the influx of Chinese cars has led to serious competition in the local market.
In order to stand out from the competition, several brands have been offering discounts and promotional programs.
Despite the affordable prices of Chinese cars, there is a relatively widespread sentiment that these vehicles might not be safe or compatible with Vietnam’s charging infrastructure, where the GB/T charging standard is not available.
The GB/T charging standard is a set of GB/T standards for AC and DC fast charging electric vehicles used in China.
In Vietnam, electric vehicles use CCS2 (combined charging system combo 2) charging adapters.
Vo Minh Luc, CEO of BYD Auto Vietnam, said that the firm had yet to plan the development of a separate charging system.
Instead, it is cooperating with a few partners to provide customers with charging systems.
Some auto experts said that the inconvenience of charging infrastructure could deter customers from buying Chinese cars.
On the other hand, Vietnam has set a target of shifting to green energy-powered vehicles by 2050, opening a wider door for the expansion of the electric car industry, according to these experts.
However, the country will also face challenges in the management of low-cost EV imports from China.
Several experts hinted at adopting effective measures to protect domestic firms from foreign competitors, including the imposition of steeper taxes on imported Chinese autos.
Moreover, the national government should set clear standards on battery, charging infrastructure, and after-sales service to safeguard the benefits of customers.
Prof. Dr. Dam Hoang Phuc suggested Vietnam develop a standard ecosystem of after-sales service for vehicles.
