VIETNAM: Vehicle sales drop by 25% in February
New vehicle sales in Vietnam fell by 25% to 5,030 units in February, reflecting fewer working days due to the Lunar New Year holidays and a market that has begun to feel the effects of the VAT rate increases at the beginning of the year.
Sales of passenger car continued to grow, however, with deliveries rising by 57% to 1,615 units. Sales of SUVs, MPVs and crossover vehicles fell by 47% to 1,167 units, while sales of commercial vehicle fell by 35% to 2,248 units.
In the January-February period, overall sales rose by 13% year-on-year to 11,991 units, from 10,632 units, thanks mainly to strong January sales. Passenger car sales in the two month-period were up by 69% at 3,787 units. SUV and MPV sales fell by 27% to 2,609 units, while commercial vehicle sales rose by 17% to 5,595 units.
Toyota’s sales in the two-month period were up by 10% to 1,808 units. Truong Hai, which assembles Kia and Foton-based vehicles, reported a 31% drop in volumes to 749 units, reflecting its significant exposure to the domestic commercial vehicle market. Third was truck-maker Vinaxuki, which managed to increase sales by 6% to 540 units; while VinaMotor sales fell by 46% to 636 units.