If the government issues the decree for the purpose after Nov. 15, the fee cut would apply from Dec. 1 to May 31, it said, explaining the reduction is meant to stimulate demand and help boost investment and revive supply chains in the auto industry.

A Vinfast production line.

When the fee was similarly cut in the second half of last year, it helped increase auto sales and tax collection increased by VND14.11 trillion ($613.48 million).

Over 102,900 automobiles produced in the country were registered in the first half of last year, and the number doubled in the second half when the fee was halved.

Some neighboring countries like Indonesia and Malaysia have also offered preferential treatment to their domestic automobile industry amid the Covid outbreaks, it added.

Eleven foreign automobile firms that do not manufacture in Vietnam, including Audi, Volkswagen, Subaru, Volvo, Jeep, and Porsche, recently called on the government to apply the registration fee cut also to imported vehicles.

The Vietnam Automobile Manufacturers Association had also called on the ministry for similar cuts for both local products and imports, but the ministry rejected it as not appropriate.

The association said its members sold 170,073 vehicles in the first nine months of this year, a year-on-year decrease of 1 percent. The numbers do not include sales of Audi, Jaguar-Land Rover, Subaru, Volkswagen, Volvo and some others who did not reveal their numbers.

According to the General Statistics Office, Vietnam imported 112,000 complete built-up vehicles in the nine-month period, up 67.9 percent.

95 pct made-in-Vietnam auto parts for foreign brands

Nearly 95 percent of auto parts produced in Vietnam are for foreign brands, showing a lack of localization in the industry.

Vingroup to build second auto plant in Vietnam

Vingroup subsidiary Vinhomes has proposed building an auto and parts manufacturing complex, including port infrastructure, in central Ha Tinh Province.

Vietnam’s automobile market ranks fourth in Southeast Asia

Vietnam’s automobile market currently ranks fourth in the Southeast Asia in terms of sales volume and domestic production capacity, according to ASEAN Automotive Federation (AAF).

January auto imports surge 85 pct

Auto imports in January rose to 8,343 completely built units worth $212.5 million, up 84.7 percent and 76.2 percent year-on-year, respectively.

Bac Giang receives 4 SAR-CoV-2 automated extractors sponsored by enterprises

(BGO)- The provincial People’s Committee of Bac Giang province on 4 February received 4 testing devices sponsored by some enterprises and handed over to the health sector for the Covid-19 prevention and control in the province. The event was attended by permanent Vice Chairman of the provincial People’s Committee Mai Son.

Source: VnExpress