VIETNAM AUTOMOBILE INDUSTRY REPORT Q1/ PDF Free Download

VIETNAM AUTOMOBILE INDUSTRY REPORT Q1/2018 1

Abbreviations OICA Organisation Internationale des Constructeurs d'automobiles GDVC General Department of Vietnam Customs GSO General Statistics Office MOIT Ministry of Industry and Trade UN Comtrade United Nations International Trade Statistics Database VAMA Vietnam Automobile Manufacturer Association VAMI Vietnam Association of Mechanical Industry VIRAC Vietnam Industry Research And Consultant 2

Content Executive summary 4 2.2.1 Scale and characteristics 41 1. Business environment 6 2.2.2 Industry value chain 45 1.1 Macroeconomics 6 2.2.3 Industry position 47 1.2 Legal barrier 11 2.2.4 Spare parts 49 1.3 Impact of free trade agreements 16 2.2.5 Production 52 20 2.2.6 Consumption 56 2.1 World automobile market 20 2.2.7 Import 67 2.1.1 Spare parts 20 2.2.8 Automobile prices 70 2.1.2 Production 23 2.2.9 Distribution system 74 2.1.3 Consumption 26 3. Risks and Challenges 76 2.1.4 Import - export 31 4. Driving forces 82 2.1.5 Top typical countries 34 5. Planning and forecast 86 2.1.6 Top typical brands 38 6. Enterprises 93 2.2 Vietnam automobile market 41 3

Executive summary The world's auto production workshops are still located in three traditional areas, with the early auto industry born in North America, Western Europe and East Asia. The automobile industry in Vietnam today is largely stopped at simple assembly. The localization rate is around 7-10%. The newly promulgated Decree 116/2017 / ND-CP on Production, Assembly and Trading of Automobiles is expected to create new opportunities In the development of production activities of automobile companies right in Vietnam instead of yielding to imported cars. After a strong growth period from 2013 to 2016, production and assembly of domestic cars in 2017 saw a sharp decline when reaching only 244.9 thousand vehicles, down 11.5% over the same period in 2016. 4

Executive summary average. charge of 395 million VND/unit. In 2017, Vietnam's automobile consumption was estimated at 272,750 units, down 10% from the same period last year, According to VIRAC estimates, the car ownership per 1,000 people in Vietnam in 2016 (31 cars) is still low compared to other countries in the region as well as in the world. In addition to the risks of policy, politics and exchange rate, the sector faces challenges in terms of capital, technology, human resources, supporting industries, government policies, infrastructure and environmental pollution, etc. 2017 saw Toyota dominate the top-selling market with three of the top 4 positions held by Toyota vehicles. In 2017, Thailand remained the largest auto market for Vietnam with 38,244 vehicles, an 5

Content 1. Business environment 1.1 Macroeconomics 1.2 Legal barrier 1.3 Impact of free trade agreements 6

1. Business environment 1.1 Macroeconomics Gross domestic product (GDP) in 9 months of 2017 is estimated to increase 6.41% over the same period last year, of which the first quarter increased 5.15%, the second quarter increased 6.28%, the third quarter increased 7.46%, and the fourth quarter increased 7.65%. GDP growth, 2011-2017 Monthly CPI fluctuations, 2014-2017 Consumer price index (CPI) in 2017 has a lot of changes. Source: VIRAC, GSO Source: VIRAC, GSO 7

1. Business environment 1.1. Macroeconomics GDP per capita has grown significantly over the years. USD GDP per capita, 2013-2017 Source: VIRAC, GSO Consumer Confidence Index, Q1/2014 Q3/2017 Consumer confidence index in Vietnam increased sharply in Q2 / 2017 with 117 points (up 5 points compared with Q4 / 2016), Source: VIRAC, GSO 8

1. Business environment 1.1 Macroeconomics Lending rates have fallen sharply since 2015 thanks to SBV's regulatory efforts as an advantage for supporting manufacturing enterprises. Average lending interest rate, 2012-2017 VND/USD exchange rate, 2013-2017 Source: VIRAC, GSO Source: VIRAC, GSO 9

1. Business environment 1.1 Macroeconomics Level of urbanization, 2010-2016 The increasing proportion of people living in urban areas has contributed to the expansion of the auto market. Source: VIRAC, GSO Disposable income and household expenditures, 2008 Increase in income and purchasing power: 2017f VND million Source: VIRAC, GSO 10

Content 1. Business environment 1.1 Macroeconomics 1.2 Legal barrier 1.3 Impact of free trade agreements 11

1. Business environment 1.2 Legal barrier Strengthening the quality control of motorized vehicles: Draft Law on Corporate Income Tax: Regulation of maintenance of means of transport Type of car Maintenance cycle Source: VIRAC summarized Circular53/2014/TT-BCTVT Vehicle load control: 12

1. Business environment 1.2 Legal barrier To change the regulations on prices for special consumption tax calculation for imported automobiles of under 24 seats. 13

1. Business environment 1.2 Legal barrier The draft import tax applies to automobile parts Menu of goods Commodity code details Tax rate If the current Most favored nation (MFN) import tariff is set at the WTO commitment ceiling, it will remain the same as the current tariff, but if lower, the increase will be equal to the committed ceiling. Source: VIRAC 14

1. Business environment 1.2 Legal barrier Modification of import tax on CB Units from a number of countries: Roadmap to apply special consumption tax on cars 1 Segment Current SCT From 1/7/2016-31/12/2018 From 1/1/2018 2 3 4 5 6 7 8 Source: VIRAC summarized Circular165/2014/TT-BTC 15

1. Business environment 1.2 Legal barrier On October 9, 2017, the Ministry of Finance issued Decision No. 2018 / QD-BTC supplementing the price list for registration of car and motorbike registration fees issued together with Circular No. 304/2016 / TT-BTC effective from 12/10/2017. 16

1. Business environment 1.2 Legal barrier Decree No. 116/2017 / ND-CP of October 17, 1977 stipulating the conditions for production, assembly, import and business of warranty and maintenance services of automobiles of various types and effective from the date of signing. 17

1. Business environment 1.2 Legal barrier 18

1. Business environment 1.2 Legal barrier Conditions for car maintenance and warranty: 19

1. Business environment 1.2 Legal barrier The Ministry of Transport has issued Circular No. 03/2018 / TT-BGTVT guiding the implementation of Decree 116 on technical safety and quality control and environmental protection applicable to imported cars. 20

Content 1. Business environment 1.1 Macroeconomics 1.2 Legal barrier 1.3 Impact of free trade agreements 21

1. Business environment 1.3 Impact of free trade agreements WTO Increasing competition in the industry. Roadmap for WTO tariff reductions for complete cars and auto parts imports Commitment rates in the WTO No. Item MFN tariff at the time of accession(%) When joining (%) Final (%) Duration of implementatio n (since accession) 1 2 Content is removed on demo 3 purpose a) b) c) Source: VIRAC 22

1. Business environment 1.3 Impact of free trade agreements AFTA, ASEAN + 3 Vietnam is in danger of becoming a market for foreign car consumption. AFTA 2008-2010 2011 2012 2013 2014 2015 2016 2017 2018 Tax rate (%) 23

1. Business environment 1.3 Impact of free trade agreements TPP - If not a member of TPP, Vietnam's automobile industry will hardly survive after 2018, when it must compete directly with Thailand, Indonesia. Regional Comprehensive Economic Partnership (RCEP) When participating, Vietnam will have a great opportunity to Japan support development of processing industry, manufacturing in general and the automotive industry in particular. 24

Content 2.1 World automobile market 2.1.1 Spare parts 2.1.2 Production 2.1.3 Consumption 2.1.4 Import - export 2.1.5 Top typical countries 2.1.6 Top typical brands 25

2.1 World automobile market 2.1.1 Spare parts USD billion Import of world car components, 2010-2016e Country Import structure of automobile components and accessories, 2016e Ranking Proportion (%) Source: VIRAC, UN Comtrade Source: VIRAC, UN Comtrade 26

2.1 World automobile market 2.1.1 Spare parts In the 1999s, except for Japan, other East Asian countries took a modest place in the auto production of the global automotive production network. Country Export structure of automobile components and accessories, 2016e Ranking Proportio n (%) Source: VIRAC, UN Comtrade 27

Content 2.1 World automobile market 2.1.1 Spare parts 2.1.2 Production 2.1.3 Consumption 2.1.4 Import - export 2.1.5 Top typical countries 2.1.6 Top typical brands 28

2.1 World automobile market 2.1.2 Production Million items Production of cars in the world, 2010-2016 In 2016, total production of the whole world automobile market showed signs of strong growth with the increase of 4.62% after many years of growth down. Structure of world production by vehicle, 2016 Source: VIRAC, OICA Source: VIRAC, OICA 29

2.1 World automobile market 2.1.2 Production Production structure by region, 2015-2016e Source: VIRAC, OICA Today, the world's production of car automobiles is still in place in three traditional areas, with the early auto industry in North America, Western Europe and East Asia. While Western Europe with Germany's largest production - the first place to bring cars into mass production in the late 19th century, 30

Content 2.1 World automobile market 2.1.1 Spare parts 2.1.2 Production 2.1.3 Consumption 2.1.4 Import - export 2.1.5 Top typical countries 2.1.6 Top typical brands 31

2.1 World automobile market 2.1.3 Consumption Million items World car consumption by type, 2010-2016 Global car sales in 2016 were 93.9 million vehicles, up 4.7% from 2015, Source: VIRAC, OICA 32

2.1 World automobile market 2.13 Consumption Million items Consumption of car in the world, 2013-2016 Although the global market is growing, it is uneven across regions. Source: VIRAC, OICA 33

2. Tổng quan ngành 2.1 Thị trường ngành ôtô thế giới 2.13 Tiêu thụ Thousand items Car consumption of ASEAN Automotive Federation members (AAF), 2017 Source: VIRAC, OICA 34

2.1 World automobile market 2.1.3 Consumption The number of vehicles used in the world, 2010-2015e According to 2015 statistics, America and Asia - Oceania is the largest car consumption region in the world with a share of 32.9% and 33.5%, with major contributions from the United States and China. Source: VIRAC, OICA Consumption in the US will reach 17.47 million units, a record high. Since 2001, US household finances have improved steadily as the economy grew to its highest level in a decade, Structure of vehicle usage by area, 2015 Source: VIRAC, OICA 35

2.1 World automobile market 2.1.3 Consumption Number of vehicles per 1,000 people in some typical countries, 2015 * Bình quân sở hữu xe 182 xe/ 1,000 dân Source: VIRAC, OICA 36

Content 2.1 World automobile market 2.1.1 Spare parts 2.1.2 Production 2.1.3 Consumption 2.1.4 Import - export 2.1.5 Top typical countries 2.1.6 Top typical brands 37

2.1 World automobile market 2.1.4 Import - export Million items Exporting cars in the world, 2010 2016e Automobile exports in the world in 2016 fell the most since 2012. Source: VIRAC, UN Comtrade 38

2.1 World automobile market 2.1.4 Import - export Structure of automobile exports by country, 2016e Import structure of cars by country, 2016e Source: VIRAC, UN Comtrade Source: VIRAC, UN Comtrade Top largest exporters of automobiles are Germany, Japan, USA, Mexico, South Korea... 39

Content 2.1 World automobile market 2.1.1 Spare parts 2.1.2 Production 2.1.3 Consumption 2.1.4 Import - export 2.1.5 Top typical countries 2.1.6 Top typical brands 40

2.1 World automobile market 2.1.5 Top typical countries China - The world's largest car consumption market Top the largest automobile consumption countries by volume, 2016 Place Country 2015 2016 1 2 3 4 5 6 7 US - The market continued to grow for 6 years 8 9 10 Source: VIRAC, OICA 41

2.1 World automobile market 2.1.5 Top typical countries Japan - Three consecutive years of decline Germany - Europe's largest automobile market and considered the birthplace of the automobile industry India - Emerging markets have the biggest growth in the world by 2016 (8.4%) UK Brazil Declining domestic consumption as the government stopped adopting the stimulus policy through tax cuts on domestically produced domestic products, including cars and reduced exports in Argentina's largest export market due to the economic crisis. 42

2.1 World automobile market 2.1.5 Top typical countries France Canada Strong growth thanks to exports benefited from increased demand in the US South Korea - The supercar boom is considered indispensable for a formal country like South Korea 43

Content 2.1 World automobile market 2.1.1 Spare parts 2.1.2 Production 2.1.3 Consumption 2.1.4 Import - export 2.1.5 Top typical countries 2.1.6 Top typical brands 44

2.1 World automobile market 2.1.6 Top typical brands Volkswagen (VW for short) Top 10 leading producers in the world, 2016 Unit: Thousand items Toyota Môtôr Corporation Renault-Nissan Hyundai-Kia Source: VIRAC, OICA 45

2.1 World automobile market 2.1.6 Top typical brands General Môtôrs Corporation Ford FCA Honda Môtôr Psa Suzuki 46

2.1 World automobile market 2.1.6 Top typical brands Top ten world s most-priced cars published by Brand Finance, 2017 Billion USD Source: VIRAC, Brand Fonance 47

Content 2.2 Vietnam automobile market 2.2.1 Scale and characteristics 2.2.2 Industry value chain 2.2.3 Industry position 2.2.4 Spare parts 2.2.5 Production 2.2.6 Consumption 2.2.7 Import 2.2.8 Automobile prices 2.2.9 Distribution system 48

2.2 Vietnam automobile market 2.2.1 Scale and characteristics Market segments 49

2.2 Vietnam automobile market 2.2.1 Scale and characteristics Vehicle consumption structure by business, 2017 In 2017, Truong Hai continues to be the largest holding company, but has dropped to only 35.8% of total car consumption in the country. Source: VIRAC, VAMA 50

2.2 Vietnam automobile market 2.2.1 Scale and characteristics The form of car assembly by the degree of complexity increases: SKD CKD1 CKD2 IKD 51

2.1 Vietnam automobile market 2.2.3 Industry value chain Vietnam automobile industry value chain Source: VIRAC, OICA, VAMA 53

2.2 Vietnam automobile market 2.2.2 Industry position Industry position of Vietnamese cars compared with the world in 2016 Source: VIRAC, OICA, GSO 55

2.2 Vietnam automobile market 2.2.4 Spare parts The automobile industry in Vietnam today is largely stopped at simple assembly. The localization rate is about 10%. USD billion Import of car accessories, 2010-2017 Source: VIRAC, GDVC Localization rate of some countries in the region, 2016e Source: VIRAC, VAMA 57

2.2 Vietnam automobile market 2.2.4 Spare parts Imports of automobile spare parts by country, 2015-2017 USD million Source: VIRAC, GDVC imports of automobile spare parts, 2017 Source: VIRAC, GDVC 58

2.2 Vietnam automobile market 2.2.5 Production In 2017, assembly production reached 244.9 thousand vehicles, down 11.5% over the same period in 2016. Production and assembly of automobiles in Vietnam, 2010-2017 Thousand items Production output of THACO, 2013-2016 Source: VIRAC, GSO, VAMA Thousand items Năm 2016, sản lượng Production, lắp ráp ôtô của THACO đạt 112,847 xe (65,748 xe du lịch và 47,099 xe thương mại), tăng trưởng 40% so với 2015. Source: VIRAC, THACO 60

2.2 Vietnam automobile market 2.2.5 Production Thousand items Production, assembly structure by vehicle type, 2010-2017 In the car assembly structure in Vietnam, passenger cars always maintain a high proportion of 60-70%. Source: VIRAC, GSO Traffic panorama of Vietnam, 1/2016 Source: VIRAC, Ford 61

2.2 Vietnam automobile market 2.2.5 Production Expenses for research and development investment At present, Vietnam's automobile industry has almost no investment in research and development (R&D). Value chain assembly and production of Truong Hai Auto Supplier Relevant units R&D Centre Factory Source: VIRAC, THACO 62

2.2 Vietnam automobile market 2.2.6 Consumption Thousand items General automobile consumption in Vietnam, 2006-2017 Source: VIRAC, VAMA In 2017, Vietnam car consumption was estimated at 272,250 thousand items, down 10.3% from the same period last year. 64

2.2 Vietnam automobile market 2.2.6 Consumption The trend of car development in Vietnam is against the other countries in the region. Trends in automobile industry development in some Southeast Asian countries, 2011-2016 Source: VIRAC, OICA, VAMA 65

2.2 Vietnam automobile market 2.2.6 Consumption According to statistics from OICA and VAMA, car ownership per 1,000 people in Vietnam in 2016 (31 cars) is still low compared to other countries in the region as well as in the world. Item Number of cars owned per 1,000 people, 2016e Source: VIRAC, OICA, VAMA Item Number of cars per 100 households by urban and rural areas, 2004 2016e Source: VIRAC, GSO 66

2.2 Vietnam automobile market 2.2.6 Consumption Thousand items Consumption of cars by vehicle type, 1/2016 12/2017 Source: VIRAC, VAMA The overall car market consumption in September continued to decline as the car market remained bleak and did not show any resurgence of growth despite the decline in car sales in many segments. 67

2.2 Vietnam automobile market 2.2.6 Consumption Thousand items Consumption output by car origin, 1/2016 12/2017 In 2017, Vietnam consumed up to 272,750 car items, down 10% compared to 2016. Source: VIRAC, VAMA 68

2.2 Vietnam automobile market 2.2.6 Consumption In 2017, Toyota Vios continues to be the best-selling car on the market. Top 10 best selling cars 2017 Thousand items Toyota Vios Toyota Fortuner Ford Ranger Toyota Innova Mazda 3 Kia Morning Mazda CX-5 Honda City Kia Cerato Ford EcoSport Source: VIRAC, VAMA 69

2.2 Vietnam automobile market 2.2.6 Consumption Consumption structure of VAMA members by region, 2015-2017 Thousand items Thousand items Consumption vehicles of VAMA members by region, 2017 Source: VIRAC, VAMA Source: VIRAC, VAMA 70

2.2 Vietnam automobile market 2.2.6 Consumption Vehicle consumption structure by business, 2016 Vehicle consumption structure by business, 2017 Source: VIRAC, VAMA Source: VIRAC, VAMA High concentration market share: In 2016 and the first nine months of 2017, more than 71% of VAMA's vehicle consumption market share is held by Truong Hai, Toyota, and Ford. 71

2.2 Vietnam automobile market 2.2.6 Consumption Competitive Analysis between Truong Hai and Toyota Vietnam by the end of September 2017 Truong Hai Toyota Distribution scale Sales in 9M/2017 Brands Marketing strategy Promotion Human resource training Product advantage Strength Weakness Direct competitive products Source: VIRAC 72

2.2 Vietnam automobile market 2.2.7 Import Thousand items Import of automobiles in complete units, 2011-2017 Source: VIRAC, GDVC Total imported cars in 2017 reached 97,213 thousand, worth $2.2 billion, 74

2.2 Vietnam automobile market 2.2.7 Import Thousand items Importing cars by country, 2015-2017 In 2017, Thailand remained the largest auto market for Vietnam with 38,244 vehicles, with an average price of 395 million VND/item. Source: VIRAC, GDVC 75

2.2 Vietnam automobile market 2.2.8 Automobile prices USD thousand Automobile prices comparing Vietnam with other countries, 6/2017 The price of cars in Vietnam is 1.2 to 1.8 times higher than that of other countries in the region and in the world, depending on the category. Country Import tax on cars by country (%), 12/2016 < 2,000 cc 2,000-3,000 cc > 3,000 cc 10-16 seats Source: VIRAC 16 seats Pick-up Source: VIRAC, MOIT 77

2.2 Vietnam automobile market 2.2.8 Automobile prices Price of vehicle according to the cost structure of the consumer must bear Source: VIRAC List of taxes applicable on a car in Vietnam: Fees to be paid when wheeled on the road: 78

2.2 Vietnam automobile market 2.2.8 Automobile prices Price movements of some major vehicles, 6/2013-12/2017 It can be seen that as of December, 2017, prices of cars in Vietnam are tending to decrease compared to the end of September. VND million Source: VIRAC 79

2.2 Vietnam automobile market 2.2.8 Automobile prices Imported car prices from ASEAN before 1/1/2018, assuming an original price of 100 Car type (Capacity) Former tariff, prior to 1/1/2018 Corporate Original price Import tariff SC tariff VAT income tax Local price Source: VIRAC Imported car prices from ASEAN after 1/1/2018, assuming an original price of 100 Car type (Capacity) Original price Former tariff, prior to 1/1/2018 Import tariff SC tariff VAT Corporate income tax Local price Deduction level Source: VIRAC 80

2.2 Vietnam automobile market 2.2.9 Distribution Automobile brands in Vietnam often invest their own distribution system or cooperate with dealers to bring their products to customers. 82

2.2 Vietnam automobile market 2.2.9 Distribution In 2017, the volatile auto market also affected the business of retail distribution. 83

Content 3. Risks and Challenges 84

3. Risks and Challenges Risk factors Policy risk Political risk Exchange rate risk VND/CNY exchange rate, 1/2016-12/2017 Source: VIRAC, Yahoo Finance 85

3. Risks and Challenges Ngành công nghiệp Production và lắp rắp ôtô trước nhiều thử thách Low localization rate Direct competitors Potential opponents 86

3. Risks and Challenges Capital and technology Not high human resources Business information system 87

3. Risks and Challenges Government policies Traffic confrastructure Oil price action World crude oil, 2011-2017 US Dollars/barrel Source: VIRAC, World Bank 88

3. Risks and Challenges Impact on environmental pollution Structure by source of CO emission to the environment Source: VIRAC, World Resources Institute 89

4. Driving forces The challenge coming from integration Market dominance of imported cars The transfer of the production and assembly of cars to Thailand 90

Content 4. Driving forces 91

4. Driving forces Prospect of automobile consumption in Vietnam Demand for automobile consumption in Vietnam continues to grow relatively when compared with other markets in the region. Roadmap for tax reduction: Infrastructure - traffic is improving: Economic development 92

4. Driving forces Size and quality of population Population pyramid, 2016 Low interest rates, stability and growth in consumer lending are driving forces for auto industry growth. VND trillion Outstanding consumer loans, 2012-2016 Source: VIRAC, GSO Source: VIRAC, NFSC 93

Content 5. Planning and forecast 94

5. Planning and forecast 5.1 Planning Decision No. 1211 / QD-TTg approving the master plan for development of Vietnam's automobile industry to 2020 with a vision to 2030. Expected volume of domestic assembled vehicles compared to total domestic demand (%) 2020 2025 Năm 2030 Source: VIRAC, Decision No.: 1211/QĐ-TTg Estimated vehicle output and growth rate of the year Expected to export complete vehicles and spare parts Production output of domestic vehicles (pcs) Growth rate (%/year) Target Unit 2020 2030 2020 2025 2030 to 2015 2016-2020 2021-2030 Source: VIRAC, Decision No.: 1211/QĐ-TTg Source: VIRAC, Decision No.: 1211/QĐ-TTg 95

5. Planning and forecast 5.1 Planning Rate of localization by value over years Supporting industry objectives: 2020 2025 2030 Oriented development Source: VIRAC, Decision No.: 1211/QĐ-TTg 96

5. Planning and forecast 5.1 Planning 97

5. Planning and forecast 5.2 Forecast 5.2.1 World forecast 2018 is about to mark technological transforms and regional market changes. 98

5. Planning and forecast 5.2 Forecast 5.2.2 Domestic forecast By the end of 2017, car makers was competitively offering cheap prices and high-end vehicles are expected to bloom in 2018. Truck and specialized vehicles segments seize huge potentials to develop in 2018 thanks to: 99

5. Planning and forecast 5.2 Forecast 5.2.2 Domestic forecast Domestic vehicles have the advantage and are expected to rise again Thousand items Forecast of car consumption in Vietnam, 2016-2020f Source: VIRAC 100

Content 6. Enterprise 101

6. Enterprise Overview of Truong Hai Auto Some typical models of Truong Hai Auto Vina mazda Kia môtôrs Peugeuot Mazda 3 Kia morning Peugeot 208 Mazda 6 Kia Cerato Peugeot 408 Mazda Cx5 Kia Sorento Peugeot 3008 THACO - Truck THACO - Bus Truck Couch 102

6. Enterprise Business strategy of Truong Hai Auto Sales and share of Truong Hai Auto, 2013 9M/2017 Currently, business strategy of Truong Hai is applied separately for different product lines: Item Source: VIRAC Some financial indicators of Truong Hai Auto Indicator (VND billion) 2014 2015 2016 Evaluating Truong Hai Auto From 2013 to 2016, THACO set a record when sales and share consecutively increased, Source: VIRAC 97

6. Enterprise Overview of Toyota and its subsidiary in Vietnam Typical models Camry Corolla Fortuner Innova Vios Hiace In the first nine months of 2017, TMV sold 43,832 vehicles; market share remained at 23.7%. Sales (volume) and market share of Toyota Vietnam 2013 9M/2017 The strategy of Toyota Vietnam Item Source: VIRAC * Doanh số không bao gồm dòng xe Lexus 98

6. Enterprise Overview of Lexus and its subsidiaries in Vietnam Lexus is the exclusive luxury car brand of Toyota Motor Corporation was born in 1989. Typical models Lexus LS 460L Lexus LX 570 Lexus GS 350 Lexus GX 460 Lexus ES 350 Lexus RX 350 Item Sales (output) of Lexus Vietnam2014 9M/2017 Strategy of Lexus Vietnam In the Vietnamese market, some Lexus vehicles have not yet achieved sales as expected, Source: VIRAC 101

6. Enterprise Overview of Ford and its subsidiary in Vietnam Typical models Ecosport Transit Fiesta Ranger Sales and share of Ford in the first nine months of 2017 continued to stabilize at 11.6%, ranking third in the association VAMA. Item Sales (volume) and market share of Ford Vietnam 2013 9M/2017 Competitive strategy Ford Vietnam s strategy Investment strategy on people Source: VIRAC 99

6. Enterprise Overview of Honda and its subsidiary in Vietnam Typical models City CR-V Civic Accord In the first nine months of 2017, Honda sold 9,756 units, representing 5.3% of the total market share. Item Sales (volume) and market share of Honda Vietnam2013 9M/2017 Honda Vietnam's strategy One of the business strategies of Honda Motor Vietnam is to provide products with advanced engine technology, durability and fuel economy, Source: VIRAC 100

6. Enterprise One of the business strategies of Honda Motor Vietnam is to provide products with advanced engine technology, durability and fuel economy, Typical models C Class A Class E Class GLE/GLS In the first nine months of 2017, sales of Mercedes-Benz Vietnam increased impressively (21% compared with the same period in 2016, reaching 4,940 vehicles) S Class V - Class Sales (volume) of Mercedes - Benz Vietnam2013 9M/2017 Strategy of Mercedes - Benz Vietnam Item Mercedes-Benz Vietnam strives to take care of its customers. Source: VIRAC 102

6. Enterprise Overview of Hino Motors and its subsidiary in Vietnam Typical models Light truck Medium truck For the first nine months of 2017, Hino sales reached 2,786 items, down 1% from the same period of 2016 and the market share was only 1.5% Heavy truck Sales (volume) and market share of Hino Motor Vietnam 2013 9M/2017 Item Competing by quality: The strategy of Hino Motors Vietnam Marketing strategy: Growth prospects: Source: VIRAC 103

6. Enterprise Overview of Isuzu and its subsidiary in Vietnam Typical models N-series F-series Q-series Đầu kéo In the first nine months of 2017, Isuzu showed a comeback with 5,126 units, up 5% from the same period of 2016, with a market share of 2.8%. Item Sales (volume) and market share of Isuzu Vietnam 2013 9M/2017 Isuzu Vietnam s strategy Isuzu's brand strategy and customer acquisition service: Source: VIRAC 104

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