July automobile sales zoom to new highs

Viet Nam's demand for automobiles roared ahead in July thanks to healthy summer sales incentives, with top auto makers posting near double-digit increases over last year, an industry group reported.

Car makers sold 12,609 vehicles last month, up 35 per cent from a year earlier, with cars accounting for 7,913 units and trucks for 4,696 units, up 7 per cent and 5 per cent respectively.


The July figures lifted the seasonally adjusted annualised selling rate to 130,000 vehicles, up 18 per cent over 2013, according to data released yesterday by the Viet Nam Automobile Manufacturers' Association (VAMA).

"This is the 16th consecutive month when the industry volume has been higher than the same period last year," said VAMA's Chairman Jesus Arias.

Meanwhile, the sales in the January-July period this year rose 29 per cent from a year ago to 66,159 units, VAMA said in its monthly report. The association's data includes SUVs, passenger cars and commercial vehicles manufactured by 21 member companies.

Japanese firm Toyota beat Truong Hai to take the lead with 3,759 units sold in July, up 26 per cent over the corresponding period last year.

Local manufacturer Truong Hai, which assembles trucks, buses and sedans, had topped the rankings in May. However, the Quang Nam-based auto maker, which sold 3, 232 vehicles in July, reported a huge net profit of VND1.245 trillion (US$59 million) in the first half of this year. This is higher than last year's profit of nearly VND1.140 trillion ($54 million).

Meanwhile, Viet Nam imported 6,000 cars worth US$122 million in July, up 122 per cent in value, according to the General Office of Statistics.

With the July figures, the total number of car imports this year[P1] is 31,000 units, worth $667 million, up 59 per cent in volume and 78 per cent in value.

Viet Nam, which has a population of over 90 million, has around 2 million cars and 37 million motorcycles.