“Sales Slump: Small Gas Cars Struggle to Find Buyers”

Last month, Kia Morning’s presence at the bottom of the sales chart for the entire market symbolized the decline of the A-segment in Vietnam. As the market closed out the first half of the year, only one A-segment car and SUV recorded sales above 2,000 units. With dwindling sales, have A-segment vehicles lost their appeal to Vietnamese customers?

Across-the-board Sales Decline

The Kia Sonet and Hyundai Grand i10 remain the best-selling models in their respective segments of A-segment SUVs and A-segment cars. However, compared to the same period last year, both models have seen a decrease in sales.

While still leading the A-segment car sales, the Kia Sonet sold nearly 1,000 fewer units in the first half of this year compared to 2024, with 2,489 cars sold. Similarly, the Hyundai Grand i10 sold 1,594 units by the end of June, a decrease from the over 2,000 units sold in the first half of 2024.

The Toyota Raize and Hyundai Venue follow on the sales chart for A-segment cars in Vietnam, with 1,577 and 1,236 units sold, respectively.

Rounding out the list are the Toyota Wigo and Kia Morning, with 1,158 and 174 units sold in the first six months, respectively. Among these, the Kia Morning continues to face an uncertain future in the Vietnamese market. So far this year, its monthly sales have not exceeded 60 units, and the number of versions has been reduced to two, while the possibility of a refreshed model remains unconfirmed.

Kia Morning and Toyota Wigo are the slowest-selling A-segment cars in Vietnam. Photo by Bối Hạ.

Similarly, the Toyota Wigo, despite being well-received upon its return to the market, is facing challenges. While it is no longer far behind the Hyundai Grand i10 in sales, its sales have decreased compared to the previous year. The Indonesian-imported model now only offers the G version in Vietnam, priced at 405 million VND.

Challenges Ahead

Many believe that A-segment cars like the Hyundai Grand i10, Toyota Wigo, and Kia Morning were successful in the past due to their affordable prices. At that time, the Vietnamese market did not offer many options in the same price range, making these A-segment cars the preferred choice for first-time car buyers and young families.

However, as new automakers entered the market with more competitive prices and new segments emerged, especially electric city cars, the dominance of the A-segment cars has been significantly challenged.

The Mazda2, priced at 403 million VND, is a more attractive option than the Kia Morning or Toyota Wigo. Photo by Thaco.

For example, the Kia Morning X-Line, priced at 424 million VND, or the Toyota Wigo at 405 million VND, are not ideal choices when compared to the imported Thai-made Mazda2 sedan 1.5L AT, priced at a promotional price of 403 million VND.

These gasoline A-segment hatchbacks also have slightly higher prices than electric city cars like the VinFast VF 3 (299 million VND) and Wuling Mini EV (from 197 million VND), but their interior space is not significantly more spacious.

Even the best-selling A-segment SUV, the Kia Sonet, faces pressure from new electric models in the same segment, such as the Wuling Bingo (399-469 million VND) and VinFast VF 5 (529 million VND).

VinFast’s latest report shows that the VF 5 electric SUV sold 21,812 units in Vietnam in the first half of the year, outperforming all gasoline-powered competitors in the A-segment SUV category. This has propelled the VF 5 to the second best-selling position in the overall market, just behind the VF 3 (23,083 units).

Vietnamese customers still favor small cars. Photo by VinFast.

The popularity of the VF 3 and VF 5 demonstrates that there is still a significant demand for small, A-segment cars among Vietnamese customers. The sales performance of A-segment cars is simply following the trend of electrification, which has, is, and will continue to strongly impact the entire Vietnamese automotive market.

However, the not-so-dismal sales of the Kia Sonet and even the Hyundai Grand i10 indicate that there is still a dedicated customer base for gasoline A-segment cars in Vietnam. While sales may not boom as they did in the past, A-segment cars are not likely to fade away like the B-segment hatchbacks, which have lost their influence on the market.

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