Vietnam offers major opportunities to the automotive industry
With an annual growth in GDP of 6 to 7% the worlds second fastest per capita since 1990 according to The Economist Vietnams domestic consumer market has a proven track record of consistently improving and huge future potential.
Peoples ability and willingness to buy cars normally starts when GDP per capita exceeds USD3,000, according to NissanVietnam will hit that target by 2020 (see IMF report of April 2016).
That the automotive market is established and growing fast is not in doubt:
There are 19 car brands available in the country
Over 300 1st- and 2nd-tier suppliers
More than 199,162 cars were built in 2015, and
Nearly 245,000 cars were sold in that year.
And the local market continues to expand rapidly:
Car sales have dramatically increased over recent years: today, those sales are forecast to expand exponentially
To put that in perspective, by 2020 the forecast is that 220,000 cars will be sold in Vietnam annuallyby 2030 it will soar to 1.5 million annually.