October auto sales continue downtrend

October sales of locally assembled automobiles shrank 11 percent year-on-year to 10,400 units, the fourth straight month that the 16 members of the Vietnam Automobile Manufacturers’ Association (VAMA) saw a contraction in sales.

All of the three segments that were major drivers for the industry tumbled last month, with sales of passenger vehicles crashing 16 percent year-on-yearto 3,200 units, sport utility vehicles (SUV) and multi purpose vehicles (MPV), falling 15 percent to 2,220 units, and commercial vehicles decreasing 6 percent to nearly 5,000 units.

Toyota Vietnam, Ford Vietnam, Isuzu Vietnam, Mercedes-Benz Vietnam, Honda Vietnam, Samco, Vinamotor and Hino all reported a downtrend in sales.

Toyota Vietnam took the market lead last month, with total sales amounting to 2,700 units, down 11 percent; Ford Vietnam sold 568 units, down 45 percent, and Hino some 90 units, down 66 percent. Mercedes-Benz Vietnam delivered more than 250 units in the month, a fall of 25 percent, while Vinamotor sold 1,027 units, down a staggering 39 percent.

However, some other VAMA members reported better sales last month. VinaStar (Mitsubishi) sold nearly 340 units, up 15 percent; Truong Hai more than 2,670 units, up 33 percent; and Visuco (Suzuki) more than 350 units, up5 percent. Overall sales so far this year were down 4 percent compared to the same period last year – felling from more than 92,100 units to 88,600 units. Of this figure, passenger car sales increased 2 percent to more than 25,600 units. Meanwhile, commercial vehicles and SUV/MPV vehicles sales decreased 2 percent and 14 percent respectively, according to VAMA.

Toyota held the market lead in the January-October period with sales amounting to more than 24,300 units, up 8 percent, followed by Truong Hai with more than 20,270 units, up 22 percent and Vinamotor with more than 10,060 units, down 20 percent.

This is the high season for the local auto market but sales are is not as active as seen in previous years. The fall of dong against the US dollar and volatile gold prices are main reasons behind lackluster demand for automobiles.

Regarding the imported car segment, the general Statistical Office (GSO) estimated the import volume in October was unchanged from the previous month, at 5,000 units, but the value dipped to $76 million. In the first ten months of the year, according to GSO, the number of completely-built-up units (CEU) imported into Vietnam was 42,000 valued at nearly $759 million, down 28.4 percent and 17.4 percent respectively. Experts said prices of locally assembled automobiles would eventually surge since local automakers import parts for local assembly. – Saigon Times

Tags: Vietnam automotive, Vietnam automotive industry, Vietnam autos market, Vietnam car sales

Posted by VBN on Nov 13 2010. Filed under Automotive, Industry. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry