Vietnam Motorcycles Market is recovering. In the 2024, sales were weak in the first half (-1.4%) and recovered in the second, with year to date October sales at 2.35 million (+1.9%). Honda and Yamaha are on top of the market.
The Vietnamese economy continued to gather momentum. In the first three quarters of 2024, GDP growth accelerated to 6.7 percent year-on-year, well above the 4.4 percent growth in the same period of 2023.
The recovery of export demand and strong inflows of FDI were the main growth drivers. In contrast, Vietnamese household spending remained weak as households adopted a cautious attitude and tightened their belts. Micro, small and medium enterprises (MSMEs) that focus on the domestic market continued to lag the recovery of export-oriented firms.
Vietnam’s economic growth is expected to pick up in 2024, driven by a rebound in manufactured exports and tourism, and recovering consumption and business investment, accordingly with the World Bank recent report. Vietnam’s economy is forecast to grow 6.1 percent in 2024, and 6.5 percent in both 2025 and 2026
The motorcycles industry, the 4th largest in the world and the 3rd for the Electric vehicles, is struggling in the post-pandemic period with dynamic changes year over year and, after a depp fall from 2019 to 2021, posted a strong year in 2022 and, again, a fall in 2023.
In the 2024, sales were weak in the first half (-1.4%) and recovered in the second, with year to date October sales at 2.35 million (+1.9%).
The market is growing in all sectors, with the scooter segment up 1.8% and the motorcycle one, which is very small, up 13.0%.
The electric segment is struggling, with the L1 category (corresponding to engines below 50 cc) experiencing a mere +0.4%, while the L3 category is declining 13.1%.
In the competitive arena, the two market leaders, Honda and Yamaha, are gaining respectively 2.7% and 6.9%.
The position behind have been taken by EVs specialist. The best is Pega, up 2.3%, followed by the Chinese Yadea, which last year celebrated its first 100,000 sales since opening a local plant in 2019, which is gaining 24.5% year-on-year, while Vinfast, recently listed on Nasdaq, lost 56.8% year-on-year.
