Automobile imports exceed expectations

Automobile imports in October exceeded Government expectations.

Vietnam imported 1,500 autos, worth a total of US$44.5 million-exceeding the General Statistics Office’s earlier estimate of 1,000 vehicles valued at US$25 million.

October’s total imports of completely-built units (CBUs) marked the first month of increase following a four-month decline. About 1,000 CBUs were imported in September, worth US$24 million, according to the GSO.

The figures for October brought the total automobile imports during the first 10 months of the year to 47,000 CBUs, worth US$931 million.

Vietnam imported 28,000 autos last year, up 223 percent from 2006, while the import value for 2007 reached a record US$523 million, up from US$208 million on 2006.

However, due to the economic climate, the Ministry of Industry and Trade has estimated that auto imports would decline by 19 percent in quantity and 15 percent in value in 2009.

Due to high import tariffs, automobile prices in Vietnam are among the highest in the world, around 60 percent higher than in Europe and 30-40 percent higher than in the rest of Southeast Asia.

Car ownership remains limited to the elite and emerging upper classes, with the country boasting only about a million privately-owned cars compared to 21 million motorbikes.

VOV, VNS

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