Car imports slowing down in July

Car imports slowing down in July 28/07/2009 09:22:00 617

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Car imports in July have been slowing down and are expected to be the same as those of June.


The General Statistics Office has estimated the same amount of car imports in July as in June – 7,000 cars under the mode of complete built unit (CBU) will be imported in July with the total import turnover of $106 million.


If GSO’s estimates are true, the monthly increase of car imports which has been going on for four months (the sharpest increase in car imports occurred in June in comparison with May) will stop.


This is considered peculiar because Vietnam ’s automobile market remains very hot. A lot of car models are running out, forcing buyers to wait many months for delivery. The automobile market is now ‘scorching hot’ with car models selling like hot cakes, including 6-9 seater MPVs, which have been bearing a higher luxury tax since April 2009.


Also according to GSO, the import turnover of all car products, including car parts and accessories in July 2009 is estimated to reach $271 million, an increase of $10 million over last month. The increase has been explained by the fact that several automobile factories have increased their capacities to meet the increasingly high demand for cars in the domestic market.


Like cars, the import of motorbikes under the mode of complete built unit has also been slowing down with imports in July equal to imports in June at 7,000 motorbikes. However, despite the same volume of imports, the total import turnover of motorbikes in July is estimated to decrease by $100,000.


In June 2009, Vietnam imported over 7,000 CBU cars with the total turnover of over $98 million. The noteworthy thing was that the actual number of imported cars was 1,000 units higher and the import turnover was $8 million higher in comparison with the estimates released by GSO at the end of June.


The CBU car import turnover in June saw a sharp increase in comparison with May with the import volume higher by 2,200 cars and import turnover higher by $18 million.


In related news, the Vietnam Automobile Manufacturers’ Association (VAMA) has announced that the Vietnam Motorshow 2009 will be held in HCM City from November 20-24, 2009. This annual exhibition is the biggest and the most professional one in Vietnam .


This year’s exhibition is expected to be bigger in scale in comparison with 2008’s, which took place in Hanoi . The total area for display will be larger by 20 percent, at some 15,000 square metres, where products of 12 members of VAMA will be on display. Moreover, 50 Vietnamese and international car part and supporting product producers, insurers and bankers will also attend the exhibition.