Pickup trucks discounted to attract customers

With the news of increased taxes and fees on pickup trucks and the large promotional programs being applied, pickup truck sales have increased, with some companies having sales many times higher than previous months.

According to statistics from the Vietnam Automobile Manufacturers Association (VAMA), in the first 6 months of 2017, the entire market consumed more than 11,500 pickup trucks of all kinds, equivalent to the same period last year.

Among the current pickup truck brands, Ford Ranger still maintains the No. 1 position with sales of 1,335 vehicles (about 35 more than last month), accounting for 59.7% of the pickup truck segment. Although down 7% compared to the same period in 2016. However, cumulatively in the first 6 months of 2017, Ford Ranger sales reached nearly 7,000 vehicles, a slight increase of 2% compared to the same period last year.

Along with that are Chevrolet Colorado brands with 261 cars, cumulatively in the first 6 months of the year, Chevrolet Colorado sales reached more than 1,142 cars, up 163% compared to the same period in 2016. Mitsubishi Triton was also chosen a lot with 184 cars, up 142% compared to the same period last year. Cumulatively in the first 6 months of 2017, Mitsubishi Triton sales reached 929 cars, up 73% compared to the same period in 2016.

However, there are also some car models that have seen a decrease in purchasing power, such as the Mazda BT-50, although it still holds the 3rd position in the list of 5 best-selling pickup trucks in June, but has decreased by 42% compared to the same period last year. In the first 6 months of the year, the Mazda BT-50 ranked 2nd with sales of 1,362 cars, a decrease of 34% compared to the same period in 2016.

According to VAMA statistics, although the number of pickup trucks sold in June decreased by 10% compared to the same period last year, most famous pickup truck brands have seen growth because in addition to the information that taxes and fees will increase in the near future, the fact that car companies are "racing" to offer discounts also helps stimulate demand.

This July, the "king" of pickup trucks, Ford Ranger, continues to receive huge discounts. Ford Ranger versions range in price from 600 to over 900 million VND, and customers who buy a car will enjoy the highest discount of up to 80 million VND. Companies such as Chevrolet Colorado and Mitsubishi Triton also offer discounts ranging from 20 to 80 million VND.

It can be seen that the automobile market in Vietnam is increasingly vibrant with incentive and discount programs. The battle for market share among automobile manufacturers is becoming more and more fierce, especially when the time to apply the new import tax policy in 2018 is approaching very soon.

With attractive promotions and information about tax and fee increases in the coming time, many customers have shown that they are looking for ways to quickly complete the ownership of a pickup truck. Mr. Nguyen Van Thuc (Ba Dinh, Hanoi) said that he decided to immediately complete the purchase of a car at Chevrolet Thang Long dealership this July, instead of planning to buy a car next year. Mr. Thuc said that even though he had to borrow more money, he still had to pay for the car.

The pickup truck segment in Vietnam is considered to have started to flourish in 2010 when Ford introduced its first global model (One Ford), the Ranger, with many electronic support features that were only available on high-end passenger cars, and was well received by the market. Up to now, the pickup truck segment in Vietnam has had most of the major brands in the world, including 8 brands (Chevrolet, Ford, Isuzu, Mazda, Mitsubishi, Nissan, Toyota, Premio...) with more than 30 different versions.

Recently, the Government requested to review tax policies (import, special consumption...) for this type of vehicle because this type of vehicle is used as a tourist vehicle (daily travel because it is not banned from entering urban areas) but has much lower tax/fee rates than that of tourist vehicles.

Specifically, the special consumption tax on pickup trucks and passenger cars was 15% before July 1, 2016 and has now been adjusted to increase (from July 1, 2016) to 20% for engine capacity from 2,500cc - 3,000cc and 25% for engine capacity over 3,000cc.

In particular, the import tax rate for pickup trucks imported from the ASEAN region to Vietnam is only 5%; meanwhile, if it is a sport utility vehicle with a similar engine capacity, it is subject to the current special consumption tax rate of 50%. In addition, the registration fee in Hanoi and Ho Chi Minh City for cars is 12%.

According to Trung Hieu/Baotintuc