Automakers in Vietnam have increased their outputs as domestic firms find it hard to import cars into the country due to high taxes, a government source said.
The car output in June, equaling May, was raised by 41 per cent versus April and 36.38 per cent against March to 3,371 units although it was 44.5 per cent lower than the same month of last year, the General Statistics Office (GSO) said.
“The failure of imported cars to reach the Vietnamese market is core reason for local carmakers to raise their production,” a Ministry of Industry official said.
After two months Vietnam allows the imported of secondhand passenger cars, only a dozen of them arrived in Vietnam, principally due to hesitance of car imports about the sales of imported vehicles which imposed very high taxes, he said.
Between January and June, carmakers in Vietnam turned out 16,068 units, down 41.7 per cent on year.
According to the GSO, foreign-led carmakers still dominate the Vietnamese automotive industry with the production of 11,638 units in the past six months and 2,414 units in June, followed by private firms with 3,330 units and 738 units, and State firms with 1,101 units and 219 units, respectively.
With a fledging auto industry, all carmakers in the country have to import parts for production. They spent around $57 million on car parts in January and June of this year.
Last year, the auto industry turned out nearly 65,000 units, up over 30 per cent on year.
GSO, Vietnam Panorama
Vietnamese
