The Rookie Line-up: Can They Save Vietnam’s Automotive Market?

The period after Tết Nguyên Đán is typically a low season for the Vietnamese auto market. This is when sales dip as the demand for new cars starts to wane, making automakers hesitant to launch new products.

However, this year seems to be an exception. Just after entering the month of February, the Vietnamese market has already witnessed the arrival of several new models.

New Cars Despite the Low Season

In mid-February, Thaco Auto kicked off the new car launch race by introducing the Peugeot 2008 facelift. Although it is just a mid-life cycle upgrade, the 2008’s presence is enough to heat up the market.

Compared to its predecessor, the 2008 facelift features distinct design changes in both its exterior and interior, highlighted by futuristic details similar to the electric version already available in Europe.

The car is offered in two versions, with prices ranging from 829 to 899 million VND. Information about the prices, design details, and engine specifications has been updated by Tri Thức – Znews here.

Peugeot 2008. Photo: Thaco Auto

Right after the launch of the Peugeot 2008, Geely Coolray was unexpectedly introduced by dealerships through test drive events. This B-segment SUV was previously rumored to go on sale at the end of 2024 but remained quiet until after Tết.

Coolray is Geely’s first model introduced in the Vietnamese market, competing in the B-SUV segment alongside heavyweights such as the Mitsubishi Xforce, Toyota Yaris Cross, Kia Seltos, Omoda C5, and Haval Jolion.

The official price of the Coolray has not been announced, but detailed information and specifications have been updated here.

In addition to these two models that appeared right after Tết, several automakers have also quickly revealed plans to launch new products in the coming months. Notably, BYD is set to introduce its first PHEV in Vietnam – the Sealion 6.

Sealion 6. Photo: FBNV

In early February, several BYD dealerships started taking deposits for the BYD Sealion 6, with sales expected to begin in April. The car has also been spotted on test drives in Hanoi and Ho Chi Minh City. Images and details about the power of the Sealion 06 have been updated here.

Images of the Sealion 05 have also leaked at dealerships. According to Tri Thức – Znews’s exclusive source, this PHEV model will also be launched in Vietnam soon.

Sales Forecast to Continue Declining

Despite the bright spots from the new cars, the Vietnamese market is still facing a downward trend. The Vietnam Automobile Manufacturers Association (VAMA) reported that in the first month of the year, the Vietnamese market consumed a total of 18,893 automobiles of all kinds, a decrease of 40% compared to the last month of the previous year and 2% lower than the same period in 2024.

Key models such as the Mitsubishi Xforce, Xpander, and Toyota Yaris Cross saw a decline in sales. Specifically, Xpander sold 808 units, Xforce recorded 552 vehicles sold, and Yaris Cross stopped at 645 units.

Mitsubishi Xforce

TC Motor attributed the weak performance in the first month to the Tết holiday season. Additionally, the market is in the final phase of the government’s registration fee incentive program, leading to a cautious buying sentiment among customers.

This is not surprising, as in previous years, the first month of the year has always seen a decline in sales for all automakers. In fact, the second month is expected to be even quieter.

Last year, Vietnam’s automobile consumption hit rock bottom in February, with nationwide sales reaching 11,633 units, including 6,662 domestically assembled vehicles and 4,971 imported cars.

The rare bright spot in the market was the VinFast electric car group. According to the company, VinFast VF 3 sold more than 4,000 units in the first month, surpassing many established models to become the best-selling car of January. Following closely was the VF 5 Plus, which ranked second with sales of approximately 3,300 units.

Automakers Continue to Offer Incentives

To break the market’s gloom, promotional and incentive programs are necessary. Many automakers have quickly launched a series of campaigns to stimulate demand, with values as high as hundreds of millions of VND.

Since the beginning of February, Honda has offered registration fee incentives and price reductions for its entire product range. Notably, the D-segment sedan Accord received a cash discount of 250 million VND.

Toyota and Mitsubishi also quickly applied a 50% registration fee incentive for their flagship SUVs. Kia joined the price reduction race by announcing discounts for six of its models, with values ranging from 5 to 110 million VND.

Cars with registration fee incentives in February. Photos: Mitsubishi, Volkswagen, Thaco Auto, TMV

Volkswagen kicked off its early-year incentive program by offering to cover up to 100% of the registration fee for three of its main models: Touareg, Tiguan, and Teramont X. The promotion also includes accessory gifts and fuel vouchers.

The incentive details for these models have been updated here.

Although the market is still facing challenges at the beginning of the year, the arrival of new models and significant incentives from automakers are expected to improve purchasing power to some extent.

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