A booth on the Automechanika HCM City Expo, a regional alternate truthful for the automobile service enterprise this is open in HCM City from February 28 to March 2. — VNS Photo Xuân Hương
Viet Nam News
HCM CITY — The Vietnamese car enterprise is predicted to grow properly, pushed in particular by way of growth in step with capita income, demand for vehicles, and infrastructure development.
Speaking at a seminar on the auto industry, held during the Automechanika HCM City expo, Nguyễn Thanh Đàm, chairman of Vast Group JSC, stated that production reached 215,000 vehicles ultimate yr, which became modest in comparison to other international locations within the location.
This accounted for simply zero.2 in step with the cent of the range of vehicles produced globally.
More than 352,200 devices have been offered in Việt Nam last 12 months, ranking fourth within the ASEAN vicinity after Indonesia (1.1 million gadgets), Thailand (950,000 gadgets), and Malaysia (560,000).
The common wide variety of cars in line with 1,000 people in Việt Nam became nevertheless low (at 23 automobiles in step with 1,000 humans) compared to different nations, Đàm stated.
With an increase in income, a “golden demographic” with the range of humans having true earnings now accounting for fifty-two consistent with a cent of the population, call for cars amongst younger families and car consumption is predicted to increase strongly.
“There might be fierce opposition among big vehicle corporations this yr,” he stated, adding that carmakers might launch many new models to amplify their market proportion.
The automobile market is expected to develop with the aid of 10 in keeping with cent this 12 months, he said.
But the underdevelopment of the helping industry, the low localization ratio and tax policies that result in high automobile prices have affected the development of the car industry.
To make a vehicle, among 30,000 and 40,000 add-ons and components are wished, but in Việt Nam greater than 90 in keeping with a cent of those add-ons and parts are provided by using discern companies or different foreign businesses, they said.
According to the Ministry of Industry and Trade, Việt Nam has 358 groups involved in automobile manufacturing, which includes 50 vehicle assemblers and 214 accessories makers.
Local agencies have produced easy accessories, which include a frame shell, cabin shell, tools boxes, car seat, and brakes, with low era content and fee addition.
Acknowledging the scenario, the Government has devised regulations to reinforce the development of the nearby helping industry to increase localization prices, in addition, to permit extra neighborhood organizations to take part in the vehicle production chain, delegates said.
In addition, change festivals will offer possibilities for nearby companies to find out about today’s add-ons and parts as well as new vehicle fashions, and explore co-operation opportunities with foreign partners, they brought.
Automechanika HCM Expo, a local trade truthful for the automotive service enterprise, opened on February 28 on the Saigon Exhibition and Convention Centre, with 359 worldwide exhibitors from 18 nations and territories taking component.
Fiona Chiew, deputy trendy manager of Messe Frankfurt (Hong Kong) Ltd, stated: “With encouraging remarks from closing yr’s version, the honest will hold to address the nearby marketplace’s inherent needs by way of providing a robust series of home and overseas exhibitors, who are presenting their modern day services and products.
“This yr, the show will highlight market segments which include the aftermarket and the commercial car area because of their boom capability in Việt Nam’s car enterprise.”
The honest presents vital opportunities for nearby agencies to community, trade business ideas and broker offers with some of the industry’s most influential names.
It additionally helps businesses form their business strategies and funding choices whilst penetrating Việt Nam’s automobile industry, and supports neighborhood corporations coming into foreign places markets.
Over 55 according to cent of exhibitors are showing the “Truck Competence” pictogram at their cubicles, so as to assist consumers speedy perceive the precise merchandise, offerings, and generation that they want.
Visitors can even discover a wide range of merchandise which includes components, components, electronics, lightings, lubricants, and removers, as well as wheels and tires for commercial vehicles from both local and distant places exhibitors.
The expo also includes many different activities, together with fleet management conference, collision repair education and renovation workshop, waft overall performance, and one-to-one matchmaking programme.
Organized by means of Messe Frankfurt New Era Business Media Ltd, Chan Chao International Co Ltd, and Yorkers Exhibition Service Vietnam, the expo will run till March 2. — VNS