9 Defining Moments Shaping Vietnam’s Automotive Industry in 2025

These shifts have laid a crucial foundation for establishing the evaluation criteria and core values of the 2026 Car of the Year program.

First, Vietnam’s automobile market recorded a historic growth in new registrations. In 2025, over 508,000 cars were sold nationwide, a 19% increase compared to 2024. Notably, 624,300 new cars were registered, up 27%, the highest in recent years, reflecting a continued surge in demand for personal vehicles and service cars. Additionally, 3,234,189 new motorcycles were registered, a 34.9% increase, highlighting the strong demand for motorized vehicles overall.

Second, domestic automobile production capacity continued to expand. In 2025, approximately 484,500 cars were assembled in Vietnam, a 39% increase from the previous year. Notably, new production and assembly projects were launched, including the VinFast plant in Ha Tinh, the Skoda plant in Quang Ninh, and the newly started GEL O&J Automotive plant. These additions enhance domestic supply capacity and support the localization roadmap of Vietnam’s automotive industry.

Third, electric vehicles (EVs) became the market’s focal point in 2025. For the first time, a single automaker captured over one-third of the total market share. VinFast sold 175,099 units, accounting for 34% of the market, with a staggering 101% growth. Electric and service vehicles emerged as the primary growth drivers, signaling a significant shift in consumer behavior and market development trends.

Fourth, policies for green vehicles continued to evolve under a long-term roadmap. In 2025, the amended Special Consumption Tax Law was approved by the National Assembly, stipulating that from January 1, 2026, hybrid vehicles (both self-charging HEVs and plug-in PHEVs) will be taxed at 70% of the rate applied to gasoline and diesel vehicles of the same type. Although not implemented in 2025, this policy adjustment is a critical step, paving the way for stronger hybrid vehicle growth in the coming years.

Fifth, the hybrid vehicle trend was evident in actual sales figures. Alongside the over 100% growth in electric vehicles, hybrid cars achieved sales of 14,171 units, a 44% increase year-on-year. Vietnam’s automotive market is deepening and diversifying, with a growing emphasis on energy-efficient and low-emission solutions.

Sixth, electric vehicle infrastructure saw foundational development. In 2025, 28 national standards for charging stations and pillars were issued, providing a unified technical framework for investment and operation. Simultaneously, the charging network expanded nationwide, addressing the primary barrier to EV adoption for consumers.

Seventh, imported vehicles surged, becoming a significant market component. According to the General Department of Customs, Vietnam imported 205,630 completely built-up (CBU) cars in 2025, totaling approximately USD 4.74 billion, an 18.6% increase in volume and 31.1% in value compared to 2024. Indonesia remained the largest exporter to Vietnam with 78,156 units, followed by Thailand (66,109 units). Notably, imports from China rose sharply to 47,895 units, reflecting supply source diversification and heightened market competition.

Eighth, public transport electrification began at a practical scale. In Hanoi, several all-electric bus routes were launched, marking a significant step in urban transport electrification and fostering synergy between personal EVs and public transit systems.

Finally, the automotive ecosystem expanded into professional sports. The 2025 Congress of the Vietnam Automobile Sports Federation marked a milestone in organizing and promoting professional motorsport activities, enhancing automotive culture and elevating Vietnam’s automotive industry status.

The dynamic developments of 2025 not only reflect market maturity but also set a vital foundation for evaluating, honoring, and shaping consumer trends through the 2026 Car of the Year program.

TH (Tuoitrethudo)