Vietnam will see a boom in car use by 2020, said participants at a seminar held by the Heavy Industry Department of the Ministry of Industry and Trade (MIT) in Hanoi on August 21.
Participants said that a booming period for car users in Vietnam will start in 2020 at a rate of 38 cars per 1,000 population that is estimated to increase to more than 50 cars per 1,000 population by 2025.
They also forecasted that cars of less than 9 seats will be all the rage, thus helping to boost car manufacture and assembly as well as auxiliary industries.
According to the MIT, to anticipate the demand,Vietnam should boost the domestic car industry by focusing its resources on the strategic segment of cars of less than 9 seats.
In addition, the government should have policies to protect the domestic market by levying high taxes on CBU (completely-built unit) cars before its ASEAN Free Trade Area (AFTA) commitments will be applied in 2018.
The government also needs solutions to boost auxiliary industries by attracting more foreign investment and intensifying the technology transfer process.
At the seminar, a representative from the Japan Automobile Manufacturers Association (JAMA) said thatVietnam ’s fledgling car industry needs more suitable policies to facilitate manufacturers’ operation and reduce taxes in order to increase their competitiveness.
Meanwhile, Vietnam Auto Show 2008, the biggest of its kind so far, opened inHanoi on August 21 with hybrid cars on show for the first time.
It is also remarkable that the local supporting industry is well represented at the event, an encouraging sign of the industry’s growth.
World-renowned makers such as Honda,Toyota , Ford, GM Daewoo and Mercedes-Benz have brought to the event their environmental friendly and energy-saving models such as FTHS ( Toyota ) and B Concept (Ford).
Opening the five-day show, Deputy Minister of Industry and Trade Do Huu Hao said the Government and relevant ministries and sectors will continue to work out solutions and long-term strategies for the automobile industry’s development.
The show, entitled “A true dream”, jointly organised by the Vietnam Automobile Manufactures’ Association (VAMA) and the Asia Trade Fair and Business Promotion Joint Stock Company, is expected to receive around 120,000 visitors.
They also forecasted that cars of less than 9 seats will be all the rage, thus helping to boost car manufacture and assembly as well as auxiliary industries.
According to the MIT, to anticipate the demand,
In addition, the government should have policies to protect the domestic market by levying high taxes on CBU (completely-built unit) cars before its ASEAN Free Trade Area (AFTA) commitments will be applied in 2018.
The government also needs solutions to boost auxiliary industries by attracting more foreign investment and intensifying the technology transfer process.
At the seminar, a representative from the Japan Automobile Manufacturers Association (JAMA) said that
Meanwhile, Vietnam Auto Show 2008, the biggest of its kind so far, opened in
It is also remarkable that the local supporting industry is well represented at the event, an encouraging sign of the industry’s growth.
World-renowned makers such as Honda,
Opening the five-day show, Deputy Minister of Industry and Trade Do Huu Hao said the Government and relevant ministries and sectors will continue to work out solutions and long-term strategies for the automobile industry’s development.
The show, entitled “A true dream”, jointly organised by the Vietnam Automobile Manufactures’ Association (VAMA) and the Asia Trade Fair and Business Promotion Joint Stock Company, is expected to receive around 120,000 visitors.
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