Vietnam’s auto market rebounds, opens door for Thai exports

According to data from the Vietnam Automobile Manufacturers’ Association (VAMA), car sales in April 2025 reached 29,585 units. Although this marked a 7% decrease compared to March 2025, it represented a 21% increase year-on-year, indicating a positive recovery trend.

Passenger vehicles led the market in April, with 20,766 units sold, down 7% from the previous month. Commercial vehicle sales also declined slightly, totalling 8,619 units.

Notably, special-purpose vehicles experienced an 11% month-on-month increase, with 200 units sold.

In terms of origin:

Locally assembled vehicles recorded sales of 13,890 units, a 7% drop from the previous month.

In contrast, imported vehicles (Completely Built-Up: CBU) saw a 7% increase, with total sales at 15,695 units.

Despite some monthly fluctuations, the cumulative data for the first four months of 2025 reflects a stronger overall market outlook:

Total vehicle sales reached 101,834 units, up 23% year-on-year.

Passenger vehicle sales rose by 22%,

Commercial vehicles by 27%, and

Multi-purpose vehicles surged by 49%.

Significantly, imported vehicles grew by 35%, indicating increasing consumer demand for foreign cars, while domestically assembled vehicles increased by 13%.

This growth presents opportunities for Thai automotive exporters, especially as Vietnamese consumers show stronger interest in high-quality imports amid a recovering market.

In April 2025, Toyota maintained its position as the market leader in Vietnam with 5,566 units sold, followed by Ford (3,997 units), Mazda (2,736 units), Mitsubishi (2,038 units), and Kia (2,055 units).

The best-selling models included the Mitsubishi Xpander, Ford Ranger, Toyota Vios, Ford Everest, and Toyota Yaris Cross.

Among vehicle segments:

SUVs were the most popular choice, dominating all categories with 5,867 units sold.

MPVs (multi-purpose vehicles) followed with 3,798 units,

while sedans recorded 3,292 units sold.

In the commercial vehicle segment, pickup trucks and small vans remained the top-performing categories, reflecting continued demand in both urban and rural logistics.

A notable trend in the market was the rising popularity of hybrid vehicles.

In April 2025 alone, 973 hybrid cars were sold.

Cumulatively, the first four months of 2025 saw 3,535 hybrid units sold, marking an 82% increase year-on-year.

This growth aligns with global trends toward eco-friendly vehicles, supported by the Vietnamese government's tax incentives and reduced registration fees for environmentally conscious models.

However, the full picture of Vietnam’s automotive market remains somewhat unclear, as major players such as VinFast and Hyundai have not yet released their April 2025 sales figures. Additionally, there is limited official data available from premium brands such as Mercedes-Benz, Audi, Subaru, and Volvo.

As Vietnam’s economy shows signs of recovery, consumer spending is expected to increase, supported by the launch of new car models and improved after-sales services. The market trend for the remainder of 2025 is projected to remain positive, with stronger momentum anticipated in Q2 and Q3, driven by a rebound in demand and supply-side stimulation.

The electric and hybrid vehicle segments are showing particularly strong growth. This is not only due to growing consumer environmental awareness, but also government incentives that encourage sustainable transportation. Automakers are responding by adjusting their product strategies in line with these trends—signaling a new era for Vietnam’s automotive industry.

The Thai Trade Office in Hanoi (DITP) noted a clear recovery in both sales figures and consumer confidence during the early months of 2025. The 23% growth in total vehicle sales in the first four months of the year (compared to the same period in 2024) underscores this positive momentum, even though sales in April slightly declined from March.

SUVs remain the top choice among Vietnamese consumers, while imported vehicles saw a significant 35% growth, highlighting rising demand for higher-quality foreign cars. At the same time, hybrid vehicles surged by 82%, driven by environmental trends and government-backed promotion policies.

Looking ahead, the Vietnamese automotive market is expected to continue expanding throughout the rest of 2025, fueled by economic recovery, new model releases, and a shift toward cleaner technologies. These changes may mark a transformational period for Vietnam’s car industry in the long term.

Rising purchasing power and growing demand for imported cars have led to increased auto imports, presenting a strong opportunity for Thailand’s automotive sector, particularly in areas such as:

Completely Built-Up (CBU) vehicles

Auto parts and components

Car accessories and customisation

Related services, including maintenance, repair, car wash, and detailing

This market outlook points to sustained potential for Thai exporters, as Vietnam's automotive sector accelerates into a cleaner, consumer-driven future.