After finishing the Vietnam Motor Show 2014, the unit held together ever wondered firms finding place for 2015, due to both Hanoi and Saigon are no full-scale places. But this concern no longer exists this year, when the importers (VIVA) has retreated to separate an exhibition organized other similar name, Vietnam International Motor Show.
The reason for the split, some representatives said that little space organization can not respond enough for each firm represents everything we have, besides, some benefits can not agree. But outside the scope of the exhibition, VAMA and VIVA are situated in two extremes under the impact of the adjustment policies, making in general is impossible.
Vehicles imported vehicle assembly in Vietnam - implacable
Before 2012, the Vietnam Motor Show is the only capital of the business playing field VAMA. In approximately 3 years from 2012 to 2014 are included the participation of importers, culminating in 2014 with 9 CBU importers genuine as BMW, Mini, Audi, Porsche, Land Rover ... The This company continuously introduces new car with impressive performances in the exhibition, which attracts visitors.
Then disagreements within each agency staffing of the organizers, booth location, time performances ... are not able to go to unity. While the units are luxury imports, wants to introduce a new product, brings monumental art space, the unit assembly system focuses on old products, combined sold more vehicles launch new car.
Not only differ in plans and programs targeted at the media, VAMA and VIVA are opposing interests as affected by state policies. While car production and assembly in the country always receive great incentives to help develop synchronized ancillary industries as well as to create jobs, on the other hand vehicles imported under tariff barriers severely.
The closer the time in 2018, a conflict of interest as high as tariffs on imported cars from Asean to 0% as committed in free trade agreements with WTO area in 2007. Enterprise production and installation Collapsible concerns with this tax, import price will drop significantly, directly influence business results of domestic vehicles.
Therefore, VAMA and private firms in the association constantly proposed to the government to intervene to protect domestic production. While at the opposite side, the business unit had barely imported cars glad, then got the cold water.
Draft amending the Excise Tax (SCT) of the Ministry of Trade and Industry earlier this year may cause prices of imported vehicles has almost doubled compared with the present. Specifically, according to this draft, vehicle excise duty rates under 1.5 liter capacity decreased from 45% to 30%, from 1.5-2 liter remains 45%, the remaining 2 liters or more increase at many levels depending on volume, of about 70-195%.
This excise tax rates apply to both imported vehicles and vehicles assembled, however while assembled vehicle back only about 2 liters, then imported cars luxury cars mainly located in the paragraphs above 2 liters. Thus, the price of imported cars increased risk during vehicle assembly is not affected.
Not only that, more recently, the recommendations of the Ministry of Finance to change the time of SCT. Accordingly, if now dutiable import price (CIF) plus import tariffs, the new calculation, this price must be added the profits of enterprises, the freight from the place of production to the agent, cost of sales, advertising ... This calculation makes again SCT increase, directly affecting selling prices.
Vehicles imported vehicle assembly in Vietnam - implacable
Car imports increased risk costs.
In addition to tariffs, MOIT still up a plan to intervene in technical barriers to limit vehicle integration, as required on financial capability, system maintenance, storage, or just a small number of ports allowed Import car ...
Thus, while the original importer beneficial idea by tariff commitments with ASEAN, but these policies are even made stronger impact on prices than ever before. In return, VAMA continue to have advantages and peace of mind with the locally assembled vehicles.
With the situation Moon - the Sun as today, the general stood a stage or give the general view is beneficial for both parties is impossible. Vietnam Motor Show 2015 The 11th and Vietnam International Motor Show for the first time took place in October next. Each side has a land link, a customer object itself.
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