VIETNAM AUTOMOBILE INDUSTRY

The global automobile market in 2017 continued to grow with the total produced cars of 97.3 million units, an increase of 2.45% over 2016. The world’s automobile production workshops are still located in three traditional areas with the earliest automobile industry which are North America, Western Europe and East Asia.

Global automobile consumption in 2017 reached xx.x million units, up 3.1% compared to 2016. Global automobile export in 2017 continued to sharply decline and plunged the most since 2012, when the total export value of automobile market was only $ xxx.xx billion.

The automobile industry in Vietnam today is largely stopped at simple assembly. The average localization rate is around 10%. Almost all of domestic components are in the form of simple technology with low value and mainly used for trucks and passenger cars. The newly promulgated Decree 116/2017/ND-CP on Production, Assembly and Trading of Automobiles is expected to create new opportunities in the development of production activities of automobile companies right in Vietnam instead of yielding to imported cars.

In the first three months of 2018, automobile production and assembly in the country reached xx.xx thousand units, a slight increase of 7.81% compared to the same period of 2017. According to Vietnam Automobile Manufacturers Association (VAMA), in the first three months of 2018, total revenue of automobile market was xx,xxx thousand units (including passenger cars, trucks, passenger cars/buses and some other vehicles), down 2% over the same period of 2017. The market share has high concentration rate: in 2016, 2017 and Q1/2018, over 70% consumption market share of VAMA was held by Truong Hai, Toyota and Ford. In the first three months of 2018, Truong Hai has remained the largest market-share enterprise with 42.7% total car consumption in the automobile market.

According to VIRAC estimates, the car ownership per 1,000 people in Vietnam in 2016 (31 cars) is still low compared to other countries in the region as well as in the world. According to the General Department of Customs, in the first three months of 2018, the country imported x,xxx cars in complete units, the total import value was only $ xxx.x million. Compared to the same period of 2017, import of automobile market in the first 3 months of 2018 decreased by 84% in volume and 75.8% in value.

Abbreviation
Executive summary
1. Business environment
1.1 Macroeconomics
1.2 Legal barrier
2. Industry overview
2.1 World automobile market
2.1.1 Spare parts
2.1.2 Production
2.1.3 Consumption
2.1.4 Import – export
2.1.5 Top typical countries
2.2 Vietnam automobile market
2.2.1 Scale and characteristics
2.2.2 Industry value chain
2.2.3 Industry position
2.2.4 Production
2.2.5 Consumption
2.2.6 Import
2.2.7 Automobile prices
3. Risks and Challenges
4. Driving forces
5. Planning
6. Enterprise

Truong Hai Auto
Toyota Vietnam
Lexus Vietnam
Ford Vietnam
Honda Vietnam
Mercedes – Benz Vietnam
Hino Motor Vietnam
Isuzu Vietnam

List of figures
Figure 1: GDP growth by Quarters, 2015 – Q1/2018
Figure 2: Monthly CPI fluctuations, 2015 – 3/2018
Figure 3: GDP per capita, 2013 – 2017
Figure 4: Lending interest rate and mobilizing interest rate, 2012-2017
Figure 5: VND/USD exchange rate, 2013-3/2018
Figure 6: Level of urbanization, 2010 – 2017
Figure 7: Disposable income and household expenditures, 2008 – 2017f
Figure 8: Import of world car components, 2010 – 2017e
Figure 9: Production of cars in the world, 2010 – 2017
Figure 10: Structure of world production by vehicle, 2017
Figure 11: Production structure by region, 2016 – 2017
Figure 12: Top 10 World’s best-selling cars , 2017
Figure 13: World car consumption by type, 2010 – 2017
Figure 14: Consumption of car in the world, 2013 – 2017
Figure 15: Car consumption of ASEAN Automotive Federation members (AAF), 2017
Figure 16: The number of vehicles used in the world, 2010 – 2015e
Figure 17: Structure of vehicle usage by area, 2015
Figure 18: Exporting cars in the world, 2010 – 2017e
Figure 19: Structure of automobile exports by country, 2017e
Figure 20: Import structure of cars by country, 2017e
Figure 21: Number of businesses, 2010-2016
Figure 22: Number of employees, 2010-2016
Figure 23: Turnover of automobile manufacturing and assembly, 2010 – 2016
Figure 24: Turnover of automobile wholesaling and retailing, 2010 – 2016
Figure 25: Vehicle consumption structure by business, Q1/2018
Figure 26: Production output of THACO, 2010 – 2016
Figure 27: Production, assembly structure by vehicle type, 2010 – Q1/2018
Figure 28: Traffic panorama of Vietnam, 2016
Figure 29: General automobile consumption in Vietnam, 2006 – Q1/2018
Figure 30: Consumption of cars by vehicle type, 1/2016-3/2018
Figure 31: Consumption output by car origin, 2016-3/2018
Figure 32: Trends in automobile industry development in some Southeast Asian countries, 2011 – 2016
Figure 33: Number of cars owned per 1,000 people, 2016e
Figure 34: Number of cars per 100 households by urban and rural areas, 2004 – 2016e
Figure 35: Top 10 best selling cars Q1/2018
Figure 36: Consumption structure of VAMA members by region ,  Q1/2016-Q1/2018
Figure 37: Consumption vehicles of VAMA members by region,  Q1/2018
Figure 38: Vehicle consumption structure by business, Q1/2017
Figure 39: Vehicle consumption structure by business,  Q1/2018
Figure 40: Import of automobiles in complete units, 2011-Q1/2018
Figure 41: Importing cars by country,Q1/2016-Q1/2018
Figure 42: Automobile prices comparing Vietnam with other countries, 6/2017
Figure 43: Price of vehicle according to the cost structure of the consumer must bear
Figure 44: Price movements of some major vehicles, 6/2014-3/2018
Figure 45: VND/USD exchange rate, 2013 – 3/2018
Figure 46: World crude oil, 2011 – 3/2018
Figure 47: Structure by source of CO2 emission to the environment
Figure 48: Population pyramid, 2016
Figure 49: Outstanding consumer loans, 2012 – 2017
Figure 50: Forecast of car consumption in Vietnam, 2016 – 2020f
List of tables
Table 1: Regulation of maintenance of means of transport
Table 2: The draft import tax applies to automobile parts
Table 3: Roadmap to apply special consumption tax on cars
Table 4: Import structure of automobile components and accessories, 2017e
Table 5: Export structure of automobile components and accessories, 2017e
Table 6: Top the largest automobile consumption countries by volume, 2017
Table 7: Competitive Analysis between Truong Hai and Toyota Vietnam by the end of September 2017
Table 8: Import tax on cars by country (%), 2017
Table 9: Imported car prices from ASEAN before 1/1/2018, assuming an original price of 100
Table 10: Imported car prices from ASEAN after 1/1/2018, assuming an original price of 100
Table 11: Expected volume of domestic assembled vehicles compared to total domestic demand (%)
Table 12: Estimated vehicle output and growth rate of the year
Table 13: Expected to export complete vehicles and spare parts
Table 14: Rate of localization by value over years