Bike shortage leads to the scratching of heads

A shortage of the recently launched Honda Vietnam’s PCX 125 scooters contradicts the Japanese firm’s assertion it is still expanding production.

Honda Vietnam introduced locally-assembled PCX scooters for the first time in September 2010, around a half year after the introduction of the imported PCX into the Vietnamese market.

According to Tetsuya Kawahara, senior chief of the Honda Vietnam’s Motorbike Sales Department, the company had sold nearly 6,000 PCX units in the local market.

“PCX sales volume reached more than 2,000 units per month. This is really a good record [for the firm],” Kawahara said.

Kawahara confirmed with VIR last week that the company was pushing ahead its production to be able to meet the Vietnamese customers’ demand.

However, many Honda dealers across the country announced that they had been running out of the products until after the Lunar New Year festival.

“It is really hard to understand the situation,” said Ly Tung Lam, a customer in Hanoi.

A Honda dealer in Hanoi revealed that each Honda dealer was delivered an average of four PCX units every month.

Honda has around 500 Honda dealers across the country with the biggest number locating in Hanoi, Ho Chi Minh City, Thanh Hoa and Dong Nai.

Honda Vietnam will launch another batch of more than 2,000 PCX vehicles to the local market in January, a month ahead the Lunar New Year festival. However, many Honda dealers keep insisting on the shortage until that time.

The retail price of the scooter in the local market is as much as VND65-70 million ($3,333-$3,589) per units, 30-50 per cent higher than the proposed price of nearly VND50 million ($2,380).

According to Kawahara, the Honda dealers decided their own retail price based on Honda’s proposed level.

“Honda Vietnam is pushing up our production of PCX by seeking more overseas suppliers of parts and components and expanding its plant’s manufacturing capacity,” he said.

The Japanese firm is utilising up to 93.5 per cent of parts and components for PCX assembling from overseas suppliers. The remaining 6.5 per cent are made by the Vietnam-based producers. – VIR

Tags: Honda Vietnam, Vietnam motobike market, Vietnam Scooter market