While motorcycle dealers bemoan the slowest sales in a decade,manufacturers are busy since the beginning of this year, introducing newmodels in the hope of triggering a revival.
Japanese-fundedHonda Vietnam seems to be the busiest motorcycle manufacturerintroducing four new models and face-lifts including PCX 125 and Wave110 RSX Fi in January, Air Blade in March and Future in June.
Honda'scompatriot, Yamaha Vietnam, followed with the all new Nozza Grandescooter, which was introduced earlier this month. Earlier, in May, theHanoi-based motorcycle manufacturer also launched Exciter 2014 andSirius Fi 2014, two face-lifts replacing its earlier models.
Also in May, the company introduced the all new Jupiter Fi Grativa 2014 to replace its best selling Jupiter model.
PiaggioVietnam, a subsidiary of European largest scooter maker Piaggio, hasintroduced Liberty Restyling 2014 model, targeting high income earners.
Themodel has been advertised as "having new features but sold with the oldprice". The pricing policy of the manufacturer aims to attract morecustomers.
In April, the Italian bike maker rolled out the newVespa Sprint, a "sportier" version of the new Primavera scooter that thecompany introduced in Vietnam last November.
Smaller playerslike Taiwanese SYM earlier this year launched Attila Elizabeth SmartIdle scooter, while Italian scooter maker Lambretta marketed theLamsport for Men.
However, motorcycle dealers seem to be unmovedby the efforts of manufacturers to trigger a revival in the market,saying it was meaningless in the context of weak demand.
"I couldnot understand why Yamaha Vietnam introduced so many new models at thistime, when demand was at its lowest " said Pham Manh Sy, Director ofthe Viet Phu Company, a prominent motorcycle dealer in Hanoi.
"Thishas been the worst year since I started the business 15 years ago. I amthinking about closing down the dealership and turning it into someother business," he told Vietnam News – the national English languagedaily published by Vietnam News Agency.
He said he felt lostbefore he came back from Ho Chi Minh City, where Yamaha Vietnam invitedits dealers nationwide to have a short holiday held in conjunction withthe launching of Yamaha Nozza Grande.
Most motorcycle dealers are suffering like Sy with some of them having already closed their dealerships.
"Themore they (manufacturers) introduce new models, the less time we haveto end the business," said a representative from a Honda dealer inHanoi, who wished to remain anonymous.
He said motorcycles are just piling up in his company.
"Previously,we could sell around 300 motorcycles a month. But in recent months ithas dropped to 2 or 3, resulting in a loss of 200 million VND (9,524USD) a month," he added.
Manufacturers, however, seem optimistic about the future.
CEOof Piaggio Vietnam, Costantino Sambuy, in a recent talk with the media,said that the motorcycle market in Vietnam is growing by 8 percentannually. It is believed that the demand for scooters will increasefurther in the future, as per capita income increases to 2,600 USD perannum by 2017.
Meanwhile, Honda Vietnam has put into operation apiston workshop worth 230 billion VND after completing construction ofits third factory.
According to the General Statistics Office(GSO), motorcycle manufacturers in Vietnam produced 1.85 millionmotorcycles in the first seven months of the year, down by 13 percentover the corresponding period last year. However, in its report releasedon July 28, GSO did not mention the number of two-wheelers sold in theperiod.
Vietnam's motorcycle market, the fourth-largest in theworld, has shown signs of saturation, with annual output having exceededdemand, prompting producers in the Southeast Asian country to speed uptheir exports to other markets.
With motorcycle sales totalling3.1 million units last year, Vietnam is the fourth largest motorcyclemarket, after China, India and Indonesia.
But motorcycle sales inVietnam have started to decline largely due to a slowdown in thecountry's economic growth. Last year's growth was up 5.03 percent over2011, the slowest pace in 13 years.
Motorcycles are the mostcommon means of transport in Vietnam, which has a population of 90million and 37 million registered motorcycles, while the number of carsis just around two million.-VNA
Japanese-fundedHonda Vietnam seems to be the busiest motorcycle manufacturerintroducing four new models and face-lifts including PCX 125 and Wave110 RSX Fi in January, Air Blade in March and Future in June.
Honda'scompatriot, Yamaha Vietnam, followed with the all new Nozza Grandescooter, which was introduced earlier this month. Earlier, in May, theHanoi-based motorcycle manufacturer also launched Exciter 2014 andSirius Fi 2014, two face-lifts replacing its earlier models.
Also in May, the company introduced the all new Jupiter Fi Grativa 2014 to replace its best selling Jupiter model.
PiaggioVietnam, a subsidiary of European largest scooter maker Piaggio, hasintroduced Liberty Restyling 2014 model, targeting high income earners.
Themodel has been advertised as "having new features but sold with the oldprice". The pricing policy of the manufacturer aims to attract morecustomers.
In April, the Italian bike maker rolled out the newVespa Sprint, a "sportier" version of the new Primavera scooter that thecompany introduced in Vietnam last November.
Smaller playerslike Taiwanese SYM earlier this year launched Attila Elizabeth SmartIdle scooter, while Italian scooter maker Lambretta marketed theLamsport for Men.
However, motorcycle dealers seem to be unmovedby the efforts of manufacturers to trigger a revival in the market,saying it was meaningless in the context of weak demand.
"I couldnot understand why Yamaha Vietnam introduced so many new models at thistime, when demand was at its lowest " said Pham Manh Sy, Director ofthe Viet Phu Company, a prominent motorcycle dealer in Hanoi.
"Thishas been the worst year since I started the business 15 years ago. I amthinking about closing down the dealership and turning it into someother business," he told Vietnam News – the national English languagedaily published by Vietnam News Agency.
He said he felt lostbefore he came back from Ho Chi Minh City, where Yamaha Vietnam invitedits dealers nationwide to have a short holiday held in conjunction withthe launching of Yamaha Nozza Grande.
Most motorcycle dealers are suffering like Sy with some of them having already closed their dealerships.
"Themore they (manufacturers) introduce new models, the less time we haveto end the business," said a representative from a Honda dealer inHanoi, who wished to remain anonymous.
He said motorcycles are just piling up in his company.
"Previously,we could sell around 300 motorcycles a month. But in recent months ithas dropped to 2 or 3, resulting in a loss of 200 million VND (9,524USD) a month," he added.
Manufacturers, however, seem optimistic about the future.
CEOof Piaggio Vietnam, Costantino Sambuy, in a recent talk with the media,said that the motorcycle market in Vietnam is growing by 8 percentannually. It is believed that the demand for scooters will increasefurther in the future, as per capita income increases to 2,600 USD perannum by 2017.
Meanwhile, Honda Vietnam has put into operation apiston workshop worth 230 billion VND after completing construction ofits third factory.
According to the General Statistics Office(GSO), motorcycle manufacturers in Vietnam produced 1.85 millionmotorcycles in the first seven months of the year, down by 13 percentover the corresponding period last year. However, in its report releasedon July 28, GSO did not mention the number of two-wheelers sold in theperiod.
Vietnam's motorcycle market, the fourth-largest in theworld, has shown signs of saturation, with annual output having exceededdemand, prompting producers in the Southeast Asian country to speed uptheir exports to other markets.
With motorcycle sales totalling3.1 million units last year, Vietnam is the fourth largest motorcyclemarket, after China, India and Indonesia.
But motorcycle sales inVietnam have started to decline largely due to a slowdown in thecountry's economic growth. Last year's growth was up 5.03 percent over2011, the slowest pace in 13 years.
Motorcycles are the mostcommon means of transport in Vietnam, which has a population of 90million and 37 million registered motorcycles, while the number of carsis just around two million.-VNA
