작성일자: 2013.6.13

작성자: 하노이 무역관 Ms Dang Thi Minh Ha(Hadtm48.hrc@gmail.com)

1. Market demand

 ○ The market demand of supporting industry(including bolts, screws, nuts, etc) for automobile and telecommunication fields is growing owing to the high demand of automobile and telecommunication of manufacturers, which is actually an obvious result of increasing needs among Vietnamese consumers.

 ○ In terms of Vietnamese automobile industry, presently, with population of 86 million people and a relatively stable economy, Vietnam has nearly 1 million automobiles of all kinds and approximately 26 million 2-wheel bikes in circulation, remains a huge potential market for both local and foreign automobile manufacturers as well as suppliers to capitalized on this opportunity and establish networks with targeted groups in the industry. Moreover, the increase in car sales currently in Vietnam, which is recorded in the table below, shows that the domestic automobiles market would sooner or later explode with Vietnamese consumers’ appetite for cars. The demand for bus, truck and special purpose vehicle(mainly automobile) also grow remarkably due to the growing needs of goods and public transport.

New Vehicle Sales by Top 10 Vietnam Automobile Manufacture Association’s Members

 ○ Thus, the opportunities in supporting industry widely opens for those interested to join the force supplying parts, accessories and related equipment to meet the demand of increasing local automobile manufacturing.

 ○ Turning to Vietnamese market for information & telecommunication products including TV, computer, cellular phone, it is among the world’s fastest growing telecommunications markets(refer to Table 1.2) because of increasingly demands since “doimoi”(renovation/open door) policies carried out in Vietnam in 1988 until now. According to the National Programme on "Hi-tech Development towards 2020", with the development of the electronics industry in Vietnam, the demand for machinery and technology in Vietnam is continuously rising. Hence, the opportunity in supporting industry for these products is something manufactures can apparently see and definitely should take.

Statistic of Vietnamese telecommunications equipment’s market

          Note: The above statistics are in $ million and are unofficial industry estimates made by U.S. Commercial Service in March 2012

 ○ Finally, Vietnam now is lack of big manufactures of bolts, screw, nuts, etc for automobile and telecommunication equipments compared to market demand, especially those which could provide these supporting products with high qualities because Vietnamese manufacturers are mainly small and medium enterprises with simple machines. Thus, many car makers in Vietnam still import bolts, screw, nuts, etc. with higher price instead of using local products.