Heavy discounts boost auto sales

The Viet Nam Automobile Manufacturers Association (VAMA) said 10,148 vehicles, including 3,988 cars and 6,160 trucks, were sold in November.— Photo nld

The Viet Nam Automobile Manufacturers Association (VAMA) said 10,148 vehicles, including 3,988 cars and 6,160 trucks, were sold in November.

The northern region continued to be the biggest buyer with 4,231 units, followed by the south with 3,750 units and central region with 1,152 units.

"This is the eighth consecutive month the industry volume has been higher than the same period last year," VAMA chairman Jesus Metelo Arias said in a statement yesterday.

November's figures brought total auto sales in the first 11 months of the year to 85,061 units, up 18 per cent year-on-year, according to the association, which comprises the country's 18 leading automakers.

While the increase in November sales can be attributed to the traditional shopping peak towards the year-end, attractive discounts offered by the automakers have helped, industry insiders said.

In order to keep the market vibrant following the prolonged economic slowdown, most car makers reduced their retail prices by between VND6 million (US$295) and VND58 million ($3,330).

While Toyota cut prices for its popular Corolla Altis sedans by VND6 million, GM's Cruze Sedan was cheaper by VND30 million ($1,428).

Mitsubishi offered a whopping VND58 million ($3,300) discount, the biggest in the industry, on its Pajero Sport, and cut the price of its Triton pickup truck by VND40 million ($1,904).

Even Suzuki, the Japanese car maker that very rarely has discount sales, cut the price of its compact Swift by VND30 million.

Meanwhile, other car makers are offering many promotional gifts such as free car insurance, free car tuning packages and installment payment options at preferential interest rates.

As many as 2,500 cars worth $68 million were imported last month, according to the General Statistics Office (GSO).

It said a total of 31,000 cars worth $638 million were imported in the first 11 months, marking a year-on-year increase of 28.3 per cent and 15 per cent respectively.

Customs statistics showed that Viet Nam's auto imports had fallen to a six-year low last year at just 27,000 cars, down 50 per cent from 2011 figures.