Quang Nam. Buses have the highest rate of using locally made components and accessories. — VNS Photo Cong Thanh Local car maker Truong Hai Automobile company (Thaco) has increased the proportion of components it sources from local suppliers in order to reduce sale prices and improve competitiveness, as tariffs on cars have fallen to zero throughout the ASEAN region. General director of Thaco Pham Van Tai said Thaco had developed five automobile plants and a supportive industry zone with 15 plants producing spare parts and accessories for local use and export as well as boosting made-in-Viet Nam cars under the ASEAN Trade in Goods Agreement (ATIGA). He said commercial car production had seen using locally made goods for 15 to 20 per cent of its components, while trucks used 30 to 45 per cent of localised accessories and spare parts produced by supportive plants in the Chu Lai-Truong Hai Industrial Complex in Quang Nam Province. Tai said buses have seen as the highest rate of … [Read more...] about Local car maker increases localisation rate
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The BMW X2 model will be introduced in the Vietnam market starting from September 2018. (Photo courtesy Thaco) Hanoi (VNA) - Local car maker Truong Hai Auto Company (THACO) will introduce the BMW X2 model in Vietnam, just one year after the vehicle first debuted at the Los Angeles Auto Show in the US in 2017. THACO said the newest cross-over model and other imported BMW X1, BMW 118i and BMW 218i have been shipped to Vietnam for the official curtain-raising event this September. It also said BMW X2 will offer three classes including Base, M-Sport and M Sport X for Vietnamese customers. According to the company, further models — notably the BMW 7 Series 740Li, 750Li and M760Li X Drive — will be arriving in Vietnam for show-off events later this year. THACO has been the new official importer of BMW and MINI vehicles in Vietnam following a cooperation deal with the German giant car maker signed in January of 2018. The price of the newly imported … [Read more...] about Local car maker to introduce latest BMW models
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?
Foreign car makers are looking at ways to obtain the documetation required by a new law in Vietnam to reopen automotive exports to the country. Two months after Vietnam put in place a rule requiring stringent inspections of imported vehicles, around 2,000 Honda Motor passenger cars are slated to arrive in Vietnam from Thailand early this week, likely the first batch of foreign-made autos to undergo the new checks, according to Nikkei Asian Review. Honda has obtained quality certification from Thai authorities, and the Vietnamese government has apparently accepted the documents. The Indonesian government is also planning to change the vehicle type approval (VTA) certificates it issues in an effort to reopen automotive exports to Vietnam. "With the VTA adjustment, Indonesian automotive exports are expected to return to the country," the Jakarta Post quoted Indonesian Trade Ministry international trade director general, Oke Nuwan, as saying. “The government will convey the … [Read more...] about Foreign car makers try to navigate new law in Vietnam after two-month hiatus
Four automakers agreed to a $553 million settlement to address class-action economic loss claims covering owners of nearly 16 million recalled vehicles with potentially defective Takata airbag inflators, court documents filed on Thursday showed. Toyota Motor Corp's (7203.T) share of the settlement costs is $278.5 million, followed by BMW AG (BMWG.DE) at $131 million, Mazda Motor Co (7261.T) at $76 million and Subaru Corp (7270.T) at $68 million. While the settlement does not mean an end to legal headaches faced by Takata Corp (7312.T) or its car maker clients, the resolution could help the embattled Japanese air bag maker's efforts to search for a financial sponsor by removing one litigation uncertainty. Shares of Takata, which was not named as a plaintiff in the case, jumped 20 percent in Tokyo on Friday. Takata has been searching for more than a year to find a financial sponsor to pay for costs to replace its inflators which are at the center of the auto industry's biggest-ever … [Read more...] about Four car makers settle claims over Takata inflators for $553 million