At the halfway mark, Vietnam’s automotive industry is on track to achieve 25 percent compound annual growth (between 2020 and 2025)
- EV Zone
- Automotive Manufacturing & Automation Zone
- Exhibitors cover wider segments of the supply chain
- Moving the benchmark of a trade fair experience
At the halfway mark, Vietnam’s automotive industry is on track to achieve 25 percent compound annual growth (between 2020 and 2025)[1]. The rise is owed to the domestic economy bolstering demand and supportive tax incentives on production, import tariffs for vehicles, and investment on infrastructure. To support this upward trajectory, Automechanika Ho Chi Minh City is set to return with over 450 exhibitors, surpassing previous figures at what will be the celebratory fifth edition. From 23 to 25 June 2023 at the Saigon Exhibition and Convention Center (SECC), the show will house the latest products, services and technologies, as well as feature an impressive line-up of events for a one-of-a-kind industry gathering.
On 13 June 2023, the organisers of Automechanika Ho Chi Minh City held a preliminary event to kick start the fifth edition. To highlight the trade fair’s unique position, Ms Fiona Chiew, General Manager of Messe Frankfurt (HK) Ltd, explained: “Our three-prong approach for integrating business, workshops and entertainment is very specific to the needs of the Vietnamese market. For example, umbrella themes across the exhibition will spotlight areas of the industry with high growth potential. In addition, we believe that adding a number of highly interactive events, for service providers, car owners and enthusiasts, can also draw greater attention to opportunities in customisation and talent in the aftermarket.”
The special edition is set to break records with more than 450 exhibitors from 21 countries and regions descending on the city. As one of the most resourceful and international automotive events in Vietnam, players are expected to travel in from around the country in hopes of communicating with domestic conglomerates, as well as companies from countries and regions like Australia, China, Egypt, France, Germany, India, Indonesia, Japan, Korea, Lithuania, Malaysia, Singapore, Taiwan, Thailand, Türkiye, the UK, the USA and more.
Exhibitors will continue to offer the latest products, solutions and know-how for the passenger, commercial vehicle and motorcycle sectors, as well as automotive manufacturing and automation. Accordingly, they will cover auto parts, accessories and customising, alternative drive systems and fuels, electronics and connectivity, tyres and wheels, diagnostics and repair, car wash and care, IoT and logistics.
Therefore, from its scope and worldwide presence, the exhibition supports the Government’s targets for proliferating Vietnam’s influence in the global supply chain. Plans include increasing the procurement of domestically-made parts to 40 percent amongst local carmakers (driving down the cost of Vietnamese vehicles to make ownership more accessible), export activities, and investment from overseas manufacturers. From these efforts, the broader aim is to become a leading regional automotive manufacturing base boasting more than 1,000 parts suppliers, drumming up production to one million units and raising sales to 900,000 vehicles per year[2].
EV Zone
Vietnam has the potential to be one of the first ASEAN member states to take on the rising demand for EV consumption and production. To illustrate, the Vietnam Automobile Manufacturers Association (VAMA) forecasts that ownership will reach one million by 2028, reaching 3.5 million by 2040[3].
As a result, the new EV Zone at the fair is set to house a collection of local and overseas exhibitors, giving them a platform to promote the latest solutions and technologies to the region. For example, the Hong Kong Productivity Council will showcase a strong collection of battery charging and systems for EVs.
In addition, the Digitalisation and Electrification Business Networking Event goes hand-in-hand with trends presented across the zone. The event consists of a number of conferences and networking sessions that focus on new mobility concepts and sustainability. Low carbon mobility will also be a major topic to match Government plans to turn Ho Chi Minh City and Hanoi into smart cities.
Automotive Manufacturing & Automation Zone
Skoda Auto has recently made headlines with the decision to build a production plant in Vietnam. The move signals the strong development of high-quality automotive manufacturing with many foreign OEMs now exploring local investment and diversifying procurement channels with the country as a way to access other markets in ASEAN.
In response, the Vietnam Association for Supporting Industries and NC Network are bringing a group of local automotive manufacturers and Japanese joint-venture manufacturers to the Automotive Manufacturing & Automation Zone. Together, they are hoping to build a greater awareness of the country’s production capabilities amongst the local and overseas community.
Furthermore, key speakers at the Automotive Manufacturing, Transformation and Automation Conference, like from ABB and Bosch, will explore recent trends and opportunities, as well as the use of robotics and solutions for smart factories.
Exhibitors cover wider segments of the supply chain
Overall, the line-up of exhibitors is set to present a leading range of products, services and solutions. Some notable brands include:
- Dielektrik UAB – a forerunner in engine control unit repair technologies;
- EXEDY – a clutch specialist dominating the global OEM market;
- Launch – a leader in vehicle diagnostics, ADAS calibration, tools and workshop equipment;
- Liqui Moly (strategic partner) – lubricant expert for motor oils, additives and car care;
- OBD/Autel – providing globally-recognised tools and software for diagnostics, repair and maintenance;
- SAMPA – offering advanced parts for commercial vehicles;
- TecAlliance – data management solutions to enhance information flow across the supply chain;
- Yon Ming – parts distributor and aftermarket service provider for the repair and maintenance for commercial vehicles; and,
- ZF – a global technology company offering solutions for next generation mobility.
Moving the benchmark of a trade fair experience
Once again, Automechanika Ho Chi Minh City sets its eyes on attracting an even wider scope of visitors to the show. AutoFest@HCMC, the show’s latest addition in the fringe programme, blurs the lines between automotive culture, networking and the day-to-day marketplace in the exhibition environment. A range of activities throughout the three-day show, include:
- Auto Service Day
- Auto NITZ Party
- Drift and Stunt shows
- EMMA Vietnam – Car Audio and Modification Competition
- OEM & Auto City Marketplace
[1] Driving Forward: The Growth and Future of Vietnam’s Automobile Industry in 2023, LinkedIn, March 2023, https://www.linkedin.com/pulse/driving-forward-growth-future-vietnams-automobile-industry-tri-pham/ (accessed: 31 March 2023) [2] VIETNAM AUTOMOTIVE INDUSTRY AT THE TIPPING POINT, B&Company, June 2020, https://b-company.jp/vietnam-automotive-industry-at-the-tipping-point/ (accessed: 31 March 2023)
[3] PROSPECTS FOR VIETNAM’S ELECTRIC VEHICLE INDUSTRY IN 2023, Vietnam Credit, January 2023, https://vietnamcredit.com.vn/news/prospects-for-vietnams-electric-vehicle-industry-in-2023_14928 (accessed: 31 March 2023)
SOURCE: Automechanika Ho Chi Minh City
Keyword: Automechanika Ho Chi Minh City 2023 forms an automotive community based on key trends in Vietnam’s industry