Focus
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Škoda Auto from Mladoboleslav has definitively confirmed that it is entering the Vietnamese market. It will start selling its European models there in 2023. From 2024, they will be joined by cars that are currently produced in India, specifically the Kushaq models and a little later also the Slavia. They will be assembled directly in Vietnam. The automaker believes that it will sell up to 40,000 Škoda cars a year on the new market.
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The Czech car brand will set up a factory in Quang Ninh, locally assembled Skoda is likely to have a cheaper price than genuine Volkswagen "brother" in Vietnam.
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Škoda Auto plans to start importing its latest car models manufactured in Europe and so early to Vietnam next year.At the same time, construction will begin on a production plant in the northern province of Quang Ninh in Vietnam. The first cars could roll off the production line in Quang Ninh province at the end of 2023.
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Slovakia has been very successful in calling leading European and international car manufacturers to invest between 1994 and 2010. In just over 20 years, Slovakia has become the country with the largest car production volume in the world per capita.
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In the first quarter of 2021, the whole Vietnamese market sold 80,500 cars of all kinds, increasing by 164% compared to the same period in 2020 (the same period in 2020 only sold 50,009 cars).
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We can see that in Vietnam, most of the European and American car brands are absent, except for imported luxury cars such as BMW, MercedesBenz, Audi, Jaguar Land Rover, Volvo and Peugot which are imported by Truong. Hai Motor assembly last time.
Are European and American cars not good? Or European cars, American cars are not popular with Vietnamese people?
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According to the forecast, if nothing changes, from 2025, the entire private car market in Vietnam will account for the main import proportion. That's because cars made in Vietnam are more expensive than imported CBU cars.
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The Czech Republic, being a real European automotive power-house, sees the biggest potential in transfer of automotive technologies to Vietnam. In per-capita terms, the Czech Republic is second in the world in passenger-car production and has a long and strong tradition in production of trucks and buses as well. Traditional Czech car brands like Škoda, Tatra or Avia are looking for new opportunities in Asia and have plans to enter the automotive market in Vietnam as well.
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On August 25, 2020, a second meeting for a business delegation of Czech and Slovak car part manufacturers to survey and seek investment opportunities was held at Slovak Embassy, 12 Ba Huyen Thanh Quan, Ba Dinh, Hanoi.
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56 Vietnamese suppliers (suppliers) and 15 manufacturing and assembling enterprises (buyers) were present in Hanoi the event of connecting Vietnam manufacturing industry 2020, introduced their potential capacity and looking for partners and relationships.
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