Korean Media: Chinese Automakers Expand into Vietnam Market, Challenging Japanese Dominance for 50 Years?
On April 1, Korean media outlet The Global Economy published an article stating that Chinese automakers, previously entering Southeast Asia with low-cost products, are now targeting the Vietnamese market with overwhelming technical specifications and localized production systems. This is not merely a simple "entry"—they appear to be structurally dismantling the Japanese car market's dominance in Vietnam, which has lasted for half a century.
Since early 2026, major Chinese automakers including BYD, OMODA, and Jaecoo have released specific sales figures since entering the Vietnamese market, demonstrating strong confidence in capturing market share.
Since its launch in Vietnam last July, BYD has seen rapid growth, with cumulative sales surpassing 5,000 units.
Notably, BYD has effectively expanded consumer choice by launching ten models in advance—seven all-electric vehicles and three plug-in hybrid electric vehicles—which is considered a highly successful strategy.
Last year, Chery’s export-focused brands OMODA and Jaecoo also achieved stable sales of 3,000 units. Although Chery’s sales remain at an early stage, this performance—achieved entirely through import-based sales prior to full localization—suggests explosive future growth potential.
Additionally, developments from MG and Wuling under SAIC Group cannot be ignored. Wuling is expanding its market presence, with sales increasing from 591 units in 2023 to 1,358 units last year. Existing brands like MG are quietly consolidating their market share while maintaining a strategy of not disclosing sales data.
The key weapon Chinese brands are promoting in Vietnam is "extended-range electric vehicles." This is a localized strategy fully tailored to Vietnam’s weak charging infrastructure. By using an internal combustion engine as a dedicated generator to charge the battery, this approach addresses the inherent weaknesses of pure electric vehicles.
In fact, the Leapmotor C10 achieves a range exceeding 1,000 kilometers in hybrid mode, while the SAIC IM LS9 and Geely Boyue REV can reach an astonishing 1,500 kilometers on a single tank of fuel.
The Vietnamese automotive market has thus become a massive testing ground where Japan’s “trust,” South Korea’s “premium,” and China’s “innovation” collide head-on.
First, Hyundai and Kia from South Korea emphasize high-value-added features, catering to the lifestyle of emerging, tech-savvy middle-class consumers.
In contrast, Japanese brands, which have dominated the market for decades, seem focused on a conservative transition toward hybrid vehicles and adopting defensive strategies to prevent loss of their existing customer base.
In response, Chinese brands treat non-traditional after-sales services as a key to winning trust. A typical example is OMODA and Jaecoo’s unprecedented 10-year or 1,000,000-kilometer engine warranty.
Original Source: toutiao.com/article/1861232712475658/
Disclaimer: The views expressed in this article are those of the author and do not necessarily reflect those of the publisher.