Practical launch pad for domestic auto industry

The picture of the domestic automobile manufacturing and assembly industry has many bright spots but also comes with significant challenges from both internal resources and external markets. Tightening connections in the supply chain ecosystem is considered one of the solutions to increase advantages for the domestic automobile industry and promote economic development.

Large space comes with challenges for the domestic automobile manufacturing industry

According to the General Statistics Office ( Ministry of Finance ), in the first 5 months of 2025, domestic automobile manufacturers and assemblers produced an estimated total of 147,300 units, an increase of 77% over the same period in 2024. Meanwhile, about 80,045 cars were imported into Vietnam with an estimated value of 1.83 billion USD, an increase of 43.3% in volume and 47.7% in value over the same period in 2024.

The domestic automobile industry is the driving force connecting infrastructure, transportation, and markets, contributing to promoting science and technology, enhancing competitiveness and international integration.

With strategic goals for economic development, the domestic automobile industry plays an important role, both promoting the development of science and technology and being an important link connecting the market, infrastructure and transportation, creating momentum for economic development. Promoting domestic automobile production also contributes to increasing competition, leveraging the export of automobiles to the world market, and strengthening international economic integration. These are also the key tasks emphasized by the Politburo in Resolutions 57-NQ/TW on International Integration in the New Situation and Resolution 68-NQ/TW on Private Economic Development.

Currently, our country has participated in and signed 17 free trade agreements, many of which are directly related to the automobile industry such as the ASEAN Trade in Goods Agreement (ATIGA), the FTA between the EU and Vietnam (EVFTA)...

Accordingly, completely built-up cars imported to Vietnam from ASEAN member countries with a localization rate of over 40% will be exempt from import tax until 2027. According to the EVFTA roadmap, import tax on completely built-up cars from the EU will gradually decrease, an average of about 6.4% per year within 10 years, which means that the cost of imported cars from the EU will decrease more and more, creating great pressure on domestic car manufacturers. In addition, the upcoming tariff agreement with the US is also an unpredictable variable.

Not to mention, in addition to the reason of reducing import tax, car companies around the world also simultaneously launched many promotional programs, creating a trend of price reduction and a tendency to spread.

This requires domestic enterprises to use capital effectively, increase investment in research and development, improve technology and improve production efficiency, thereby increasing competitiveness. The common challenges of the industry are posing a big problem, requiring a tighter handshake from the ecosystem including spare parts suppliers, domestic production and assembly workshops and output distribution.

The supporting role of credit institutions

Acting as a financial lifeline, leading capital to economic sectors and accompanying customers, the credit packages of the banking system have a great significance in contributing to "opening the door" for the domestic automobile manufacturing industry, both tightening the connection between enterprises and balancing and creating leverage, helping to increase supply and demand between domestic automobile production, assembly and consumption, towards boosting exports.

With an understanding of customers and anticipation of business needs, Saigon - Hanoi Commercial Joint Stock Bank (SHB) quickly launched a credit package to support Kim Long Motor's input supply chain, as a fulcrum for the domestic automobile manufacturing industry. The package supports up to 90% of capital needs and a maximum loan term of 9 months. Flexible collateral for the loan is the right to claim debt/receivables from Kim Long Motor, SHB's financial solution helps suppliers and units in the supply chain not need to mortgage fixed assets, while still ensuring access to capital, suitable for operational characteristics and flexible cash flow.

SHB launches credit package to support Kim Long Motor supply chain, financing up to 90% of capital needs, flexible collateral

At the same time, in order to promote output consumption, SHB also launched a preferential loan program for businesses wishing to buy Kim Long Motor vehicles, with a market-leading competitive policy and streamlined application and procedure processes. The bank finances up to 85% of the vehicle value, with a maximum loan term of 72 months, secured by the purchased asset. With flexible loan terms and high funding rates, SHB is committed to accompanying and helping businesses invest in vehicles for business and transportation to become convenient and easy.

SHB's solution package contributes to creating a seamless supply chain, enhancing connectivity and promoting the growth of the central enterprise ecosystem. Not only proactively managing capital with many incentives from banks; the ability to connect inputs and outputs will help domestic automobile enterprises confidently develop, creating advantages in the race to dominate the market.

SHB's timely accompanying solutions demonstrate its understanding of the market and customers, affirming its position in the Top 10 prestigious private commercial banks, Top 5 largest commercial banks in Vietnam. With the position of a Top bank, SHB is a bank that provides effective capital sources for key sectors of the economy, pioneering in providing digital financial solutions for many administrative units and people.

The Bank focuses resources on implementing a strong and comprehensive Transformation Strategy based on four pillars: Reforming mechanisms, policies, regulations, and processes; People as the subject; Taking customers and markets as the center; Modernizing information technology and digital transformation.

SHB sets a strategic goal of becoming a TOP 1 Bank in terms of efficiency; Most favorite Digital Bank; Best Retail Bank and at the same time a TOP Bank providing capital, financial products and services to strategic private and state enterprise customers, with a supply chain, value chain, ecosystem, and green development.

PV

Source: https://baocantho.com.vn/be-phong-thiet-thuc-cho-nganh-cong-nghiep-o-to-trong-nuoc-a190773.html