VietNamNet Bridge - Vietnam’s car rental market is believed to have great potential but high risks as well. Enterprise Rent-A-Car, the US-based car rental company with annual revenue of $22 billion, has announced its operation in Vietnam. A representative of the company said Vietnam is the first Asian market that Enterprise Rent-A-Car has entered, explaining that Vietnam is a large market but supply remains inadequate. The service providers are mostly small companies or household-run businesses. Vietnam’s car rental market is expected to grow rapidly thanks to the continued surge in foreign investment, expected to last at least for 10 more years. As more foreign workers flock to Vietnam, the car rental demand will soar. He noted the strong rise of the middle class in Vietnam and the young generation which has a different lifestyle than their parents and grandparents. They do not attach much attention to owning luxurious cars and living in large houses, but care about … [Read more...] about American car rental company enters market
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The world's largest car rental servicer, Enterprise Holdings, recently announced that its Enterprise Rent-A-Car service is now available in Vietnam. The move is part of Enterprise Holding’s goal to expand its car rental services across the Asia Pacific region. Enterprise Rent-A-Car will operate in Vietnam through its Vietnamese franchise partner MP Logistics. Cuong Dang, general director of Enterprise Rent-A-Car Vietnam, said the company currently has 300 rental cars, from 5 to 47 seaters, available in Ho Chi Minh City. The service is scheduled to be expanded to Hanoi and Da Nang in the first quarter of 2019. Rent-A-Car’s initial strategy will be to grow a base of corporate customers, foreign employees of multinational companies with operations in Vietnam. The initial emphasis will be on long-term rentals with a chauffeur. Later, it will expand its services to include short-term, chauffeur-driven options, self-drive rentals and leisure hire at popular … [Read more...] about World’s largest car rental firm drives into Vietnam
VinFast, a unit of Vietnam’s largest conglomerate Vingroup, is set to become the country’s first fully-fledged domestic car manufacturer when its first production models built under its own badge hit the streets next August. “Where else in the world can you do this with this sort of speed?” said Shaun Calvert, vice president of manufacturing at VinFast Trading and Production LLC, looking out over an area of factory floor where nine months earlier there was only sea. Calvert was speaking on a recent tour of the company’s new plant, a sprawling island complex in the northern Vietnamese port town of Haiphong, where the two models will be built. From a standing start, VinFast will have the capacity to produce 250,000 cars annually in the next five years or so, equivalent to 92 percent of all the cars sold in Vietnam last year, according to data collated by the Vietnam Automobile Manufacturers’ Association (VAMA). Vingroup says it only embarked on … [Read more...] about Fast and serious: Vietnam’s first domestic car manufacturer bets big
Vietnam’s policy on tightening car import regulations under Decree 116 may be the main reason behind foreign car makers' decision to expand production in Vietnam. The Toyota automotive plant in Vinh Phuc province. Source: toyotavinhphuc.info Most recently, Toyota Vietnam proposed the Vinh Phuc People’s Committee to rent 9.1ha of land in Phuc Yen city to expand its automobile manufacturing plant, raising its annual capacity from the current 50,000 to 90,000 units by 2023. Accordingly, the total capital for this expansion is about $40 million. Toyota’s move is supposed to be the result of Decree No.116/2017/ND-CP, which introduced many strict conditions and regulations about importing cars, which came into effect early this year. Not only Toyota, but Ford and Hyundai are also planning to expand production scale in Vietnam due to the decree. According to the Vietnamese government, Decree 116 aims to boost the development of the country’s automobile … [Read more...] about Decree 116 moves foreign car makers to expand production in Vietnam?
President Donald Trump is considering a plan to impose steep tariffs on auto imports justified by national security concerns, the same reason used for duties on steel and aluminium, The Wall Street Journal reported on Wednesday (May 23). New foreign cars are seen parked at the Dundalk Marine Terminal on Mar 9, 2018 in Baltimore, Maryland. (Mark Wilson/Getty Images/AFP) The White House is considering launching a so-called Section 232 investigation on auto trade, according to the report, which would provide the legal basis to impose tariffs if the Commerce Department finds imports threaten US national security. Trump may have previewed the move in two vague tweets early on Tuesday. "There will be big news coming soon for our great American autoworkers," he said on Twitter. "After many decades of losing your jobs to other countries, you have waited long enough!" In another tweet referring to trade talks with China, he said that, while the discussions were moving along nicely, … [Read more...] about Trump considering 25pc tariffs on car imports: Report