The Vietnam Used Car Market size was estimated to hit around USD XX billion by 2030 and is poised to grow at a compound annual growth rate (CAGR) of 15.47% from 2022 to 2030.
Vietnam Used Car Market: Breakup by Region, 2022 & 2031
Source: Primary Research and Secondary Research Analysis
The rise of the middle class, rising earnings, and changes in consumer behaviour have all contributed to the rapid growth of the used automobile industry in Vietnam in recent years. We will go into more detail about the present situation of the used automobile market in Vietnam and some of the difficulties the sector is currently facing in this section.
In Vietnam, the used automobile market has been growing quickly and is predicted to do so in the years to come. Over 500,000 used vehicles were sold in Vietnam in 2020, making up 70% of all automobiles sold in the nation, according to the Vietnam Automobile Manufacturers Association.
The report states that the main factors influencing the used automobile market in Vietnam are the expansion of the middle class, rising purchasing power, and the accessibility of financing alternatives. The demand for used automobiles is growing as a result of Vietnamese customers looking for more economical options to purchase a car due to rising salaries.
The most popular brands of used cars in Vietnam are Toyota, Honda, and Mazda, all of which are Japanese automakers. The most common makes and models of used automobiles sold in the nation are sedans and SUVs. Vietnamese buyers favour these vehicles because they are strong, dependable, and fuel-efficient.
Despite the potential for growth, the used car market in Vietnam is faced with a number of challenges. One significant obstacle is the lack of transparency within the industry, resulting in a significant information imbalance between sellers and buyers. Many used cars have undisclosed defects that erode consumer trust and dissuade some individuals from purchasing used cars.
Furthermore, there is a scarcity of high-quality used cars available in the market. Most used cars in Vietnam are imported from Japan, which often have high mileage and require frequent maintenance and repairs. Additionally, the proliferation of counterfeit spare parts has made it challenging for consumers to find authentic components, resulting in a decline in the reliability of used cars.
Finally, the government's high taxes and fees on imported used cars have constricted the supply of vehicles and driven up prices. These policies have made it challenging for many consumers, particularly those from low-income households, to afford a used car.
Market Breakup: By Vehicle Type
Market Breakup: By Fuel Type
Market Breakup: By Booking Type
Market Breakup: By Vehicle Age
Market Breakup: By Vendor Type
Ho Chi Minh City and Hanoi are the two biggest marketplaces in Vietnam's used automobile market, which is predominantly focused in urban regions. The majority of used car sales in the nation take place in these two locations.
The largest city in Vietnam and its economic centre is Ho Chi Minh City, usually referred to as Saigon. With a population of nearly 9 million and a sophisticated transit system, the city serves as a significant used automobile market. The city's expanding middle class and rising salaries have fuelled a demand for cost-effective mobility options, and many shoppers are now favouring used cars as a result. Sedans and SUVs are the most popular types of used cars in Ho Chi Minh City, with Japanese brands like Toyota and Honda being the most sought-after.
Another sizable market for old cars is in Hanoi, the capital of Vietnam. There are many government buildings, international organisations, and foreign businesses in the city, which has a population of about 8 million. The city's transportation system is likewise well-developed, with a number of motorways and motorways extending from Hanoi to other regions of the nation. The city's expanding middle class, which is looking for affordable transportation options, is the main factor driving the market for used automobiles in Hanoi. The most popular used automobile models in Hanoi are sedans and hatchbacks, with Japanese automakers Toyota, Honda, and Mazda topping the list.
Da Nang, Hai Phong, and Can Tho are few further prominent regional used automobile markets in Vietnam. In recent years, these cities have experienced tremendous growth brought on by growing earnings and increased urbanisation. The most popular used automobile models in these cities are sedans and SUVs, with Japanese companies dominating the market.
In conclusion, Ho Chi Minh City and Hanoi are the two biggest marketplaces in Vietnam's used automobile market, which is mainly focused in urban regions. The expanding middle class and rising earnings in these areas are the main factors driving the market for used cars. The most popular used automobile categories in the nation are sedans and SUVs, with Japanese manufacturers like Toyota and Honda being in high demand.
Market Breakup By Region
The Vietnam Used Car Market competitive landscape provides details by competitor. Details included are company outline, company financials, revenue generated, market potential, investment in research and development, new market initiatives, worldwide occurrence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The overhead data points providing are only related to the businesses’ focus related to Vietnam Used Car marketplace.
Major players operating in the Vietnam Used Car Market are:
Vietnam Used Car Market Research Report, 2020-2031.
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