Registration fees for domestically produced and assembled cars to cut down by 50% from September 1

ABO/NDO- The Vietnamese government has announced a temporary 50% reduction in registration fees for domestically produced and assembled cars from September 1 to November 30, 2024.

This was regulated under Decree No. 109/2024/ND-CP, dated August 29, 2024.

From December 1, 2024, the registration fee will return to the standard level, which is regulated in the Government’s Decree No. 10/2022/ND-CP, dated January 15, 2022.

Workers assembling car parts at a plant of Hyundai Thanh Cong Automobile JSC.

Registration fees are calculated based on car prices in each locality, at a rate of 12% in Hanoi and Hai Phong, and 10% in Ho Chi Minh City.

This fee reduction aims to stimulate the domestic auto market, which has seen a significant fall in sales, including both passenger cars and commercial vehicles.

According to the Vietnam Automobile Manufacturers Association (VAMA), sales by VAMA businesses in the first half of 2024 reached 67,849 cars, marking a 15% decline compared to the same period last year.

This isn’t the first time such a decision has been made; local car makers also benefited a similar fee reduction in the second half of 2023.

(Source: NDO)