Vietnam Auto Import down 20 per cent in February

Vietnam is estimated to import merely 800 finished cars worth US$13.4 million in February of 2006, representing on-year falls of 20 per cent in volume and 29.5 per cent in value, the government’s General Statistics Office (GSO) said.

 

“The fall in auto import is due to consecutive tax reductions on imported cars from January and the regulation permitting used car imports from May, which have prompted local potential car buyers to delay their purchasing decisions in the hope of buying cars at lower prices,” an official from the Ministry of Trade said.

 

In January, the country spent 16 million on importing 900 cars, he said.

 

Vietnam is also predicted to spend US$96.6 million on importing components for its fledging automotive industry, which is heavily reliant on component imports.

 

At the moment, the Vietnamese automotive industry is heavily hurt by the government recent policies.

 

According to the Vietnam Automobile Manufacturers Association (VAMA), 11 operational carmakers sold 1,517 cars in January, down 36 on year.

 

Last year, Vietnam spent US$280 million on importing 17,000 automobiles, down 3.2 per cent on year in value and 24.3 per cent in volume, said the GSO. The country also disbursed US$800 million on auto components in the year.