Vietnam's Auto Market: Imported Vehicles Outpace Domestic Production as Consumer Preferences Shift

Vietnam's automotive market is experiencing a notable shift in consumer preferences, with imported vehicles consistently outselling domestically-assembled cars throughout 2026. According to data from the Vietnam Automobile Manufacturers Association (VAMA), imported vehicles sold 86,778 units from January to May 2026, representing a 27% increase compared to the same period in the previous year, while domestically-assembled vehicles reached only 69,951 units, growing at a slower rate of 11%.

The market has been marked by intense price competition since early 2026, driven by the introduction of numerous new models and mounting inventory pressures. Manufacturers and dealers have implemented continuous promotional campaigns and price reductions to attract customers amid declining purchasing power. In May alone, imported vehicles sold 16,855 units compared to 13,080 units for domestic vehicles, demonstrating the continued strength of the import segment despite a 6% month-over-month decline for both categories.

In gasoline and diesel vehicle segments specifically, Vietnamese consumers show a pronounced preference for imported models. The top-selling vehicles in May 2026 were predominantly imported, with the Toyota Yaris Cross leading sales. Models such as the Mitsubishi Expander (with over 1,000 of 1,236 units sold being imports), Ford Everest, Toyota Corolla Cross, and Mitsubishi Desnitzer—imported from Thailand and Indonesia—dominated the top-ten sales list. The Mitsubishi Expander exemplifies this trend, with imported versions vastly outselling the domestically-produced variant.

Overall VAMA member sales reached 156,729 vehicles in the first five months of 2026, a 20% increase year-over-year. However, momentum has slowed in recent months. After March recorded 38,704 sales, April declined 17% to 31,937 units, followed by a further 6% drop to 29,935 units in May. Industry experts attribute this slowdown to broader economic pressures, hesitancy regarding major purchases, tightened auto financing from banks and credit institutions, and uncertainties surrounding the introduction of E10 gasoline, which has prompted consumers to delay purchasing decisions. Despite these headwinds, the market continues growing, though at a decelerating rate.