Hyundai overtakes Toyota to become Vietnam’s best-selling brand in Jan-May 2021

Korean cars receive little to no love in Malaysia but in Vietnam, it is a different story as the most beloved ‘lambang H’ isn’t Japanese. According to the latest data, Hyundai overtook Toyota to become Vietnam’s best-selling car brand in the first five months of 2021.

Based on the data provided by the Vietnam Automobile Manufacturers’ Association (VAMA), Hyundai sold 24,420 units in the country in the January-May period. Meanwhile, Toyota is placed not far behind with 24,112 units sold in the same period.

VAMA is the Vietnamese equivalent of our very own Malaysia Automotive Association (MAA).

In third place is Kia which sold 23,440 units. The Korean brands' first and third places are a sign that the Vietnamese are changing their preference on cars.

Also read: Little love from Malaysians but Kia is Russia’s favourite mass-market brand

Five of the country’s top 10 best-selling cars in the five-month period are Korean (Hyundai Accent, Hyundai Santa Fe, Kia Seltos, Hyundai Grand i10, and Kia Cerato) while three are Japanese (Toyota Vios, Mitsubishi Xpander, Toyota Corolla Cross).

Also read: This Hyundai Accent is undercutting the Honda City/Toyota Vios in Vietnam

Despite the Korean cars being very popular among Vietnamese buyers, Japanese brands still outsold them (67,809 units to 46,743 units). Granted, there are more Japanese brands offered compared to Korean brands.

It is interesting to see the Vietnamese buying behaviour changing from buying Japanese to Korean. One reason, according to experts, might be due to Korean cars offering better equipment at a lower price. In fact, the resale value of Korean cars is on par with the Japanese and the cost of maintenance for the former has even dropped.

Also read: A Honda Civic holds 2x better value than a Fluence? Which C-segment sedan is the resale value king?

In 2020, Hyundai took over the title of best-selling brand in the country for the first time despite the Toyota Vios being Vietnam’s most popular car of the year. That being said, the Hyundai Accent might snatch the crown from the Vios in 2021.

Also read: Hyundai Accent surpasses City and Vios as Vietnam’s best-selling B-segment sedan in Jan 2021

Hyundai has been pushing efforts to expand its presence in the fast-growing Vietnamese market. In 2017, the Korean giant signed a manufacturing joint venture with Thanh Cong Manufacturing and two years later, built a second facility.

The Vietnamese plants assemble the Grand i10 and Accent sedans along with the Kona, Tucson, and Santa Fe.

Meanwhile, Kia partnered with THACO and its facility assembles the Morning (Picanto), Seltos, and Carnival.

Also read: After Mazda, Bermaz to also export Kia Seltos and Carnival from Malaysia

Vietnam is the fourth-largest automotive market in Southeast Asia, following Thailand, Indonesia, and Malaysia. The country’s auto market grew rapidly to about 334,000 units sold in 2020, rising by more than 50% in the past two years.