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Automechanika Ho Chi Minh City 2023 explores Vietnam’s automotive supply chain evolution

23 febbraio 2023

Vietnam is in a unique position to fast-track its electric vehicle (EV) development, given its transformation in automotive manufacturing, electrification and digitalisation. In a bid to speed up the advancement nationwide, government initiatives stand to benefit the public and private sectors. The launch of the fifth edition of Automechanika Ho Chi Minh City gathered local players leading the EV supply chain formation. The show will take place from 23 to 25 June 2023 at the Saigon Exhibition and Convention Center (SECC).

In 2022, Vietnam retained its title as Southeast Asia’s fastest-rising economy, with GDP increasing by eight percent, well above earlier forecasts. The 8.1 percent expansion of the manufacturing sector was the main driver in this growth, and further analytics suggest the automotive industry will be a key segment of advancement in the years ahead[1].

In fact, many international companies are turning to Vietnam as an upswing of comprehensive Free Trade Agreements and the cost-competitiveness of operating through the country. Statistics from 2022 indicate a 13.5 percent year-on-year increase in disbursed FDI, to which the manufacturing sector saw some of the biggest gains.

Therefore, as a cornerstone of the country’s economy and modernisation, the Government has turned its attention to the Vietnam Electric Vehicle Industry Development Plan with the aspiration to become a leading manufacturer of EVs and related components[2].

Ms Fiona Chiew, General Manager of Messe Frankfurt (HK) Ltd, highlighted: “The growth and development of Vietnam’s automotive industry show no signs of slowing down with both sales and manufacturing capabilities on the rise. The recent urbanisation of the country means its automotive industry has leapfrogged internal combustion engines straight into a heavy focus on EV development. As a result, the country has the potential to become one of the fastest ASEAN member states to take on the rising demand for EV consumption and production.”

Although, more action is still needed for the country to mobilise its resources. In this view, the Government is already prioritising investment plans and tax incentives to support the competitiveness of domestic companies in the value chain and the uptake of electric two and four-wheelers amongst the growing consumer base. Vinfast is a prime case study of a Vietnamese company strategically collaborating with international brands to boost production, improve product development and quality, enhance end-user experiences, and advance its position in the global EV market.  

To support local efforts, Chiew added: “As always, we will promote opportunities in the market to our local and global networks. Our launch in Hanoi with strategic partners, supporting organisations, associations and the media aimed to grow the show’s awareness in Northern Vietnam. I believe it was an important opportunity to create stronger ties in the domestic market to offer up a broader overview of automotive manufacturing and EV development.”

The launch included the likes of the Vietnam Automotive Technicians Network (OTO-HUI), Vietnam Association of Mechanical Industry (VAMI), Vietnam Association for Supporting Industries (VASI), Vietnam Automobile Transportation Association (VATA), and NC Network.

Reflecting industry trends in product coverage
The synergy of local and overseas exhibitors with showcases in the Automotive Manufacturing & Automation, Auto Service & Maintenance / Accessories & Customising, and EV & IoT zones will become an integral part of the collaborative platform. Furthermore, the show will see more local participation from the advanced technology manufacturing and production sector as an advantage of deeper collaboration with the local supporting organisations VASI and NC Network.

In addition, a collection of domestic and international speakers at the Automechanika Connected Exchange, Smart Factory and Industry 4.0, and Electrification and Digitalisation Conferences will explore ways to enhance the vehicle lifecycle in line with electrification and digitalisation to transform Vietnam into a complete automotive manufacturing hub. This includes developing core parts, technologies and digital solutions in manufacturing stages through to end-user experiences and aftermarket services.

However, to fully embrace EVs, Vietnam must also nurture talent across the board to meet the demands and boost productivity in manufacturing, as well as after-sales services in the local market. This will be an overarching theme during the Auto Service and Maintenance Workshop. Professional instructors will guide manufacturers, technical engineers, mechanics, and workshop owners on repairing and diagnosing high-voltage systems and ADAS recalibration. At the same time, the Auto Service Day will help car owners recognise the importance of car maintenance through onsite auto services like diagnostics and detailing.

Elsewhere, AutoFest@HCMC will present a medley of activities to fuse automotive culture with the day-to-day marketplace. The line-up of events, which includes the Auto City Marketplace, EMMA Vietnam, Drift & Stunt and Auto NITZ Party, aims to offer more outlets for suppliers to interact with potential clients, workshops, car owners and enthusiasts.

Automechanika Ho Chi Minh City is co-organised by Messe Frankfurt (HK) Ltd, Chan Chao International Co Ltd and Yorkers Exhibition Service Vietnam. For more information, please visit www.automechanika-hcmc.com or contact Messe Frankfurt (HK) Ltd, +852 2802 7728 / autoasia@hongkong.messefrankfurt.com.

The brand’s flagship show, Automechanika Frankfurt, will return to the stage from 10 to 14 September 2024. Meanwhile, other Automechanika events organised by Messe Frankfurt’s Greater China offices include:

Press information and photographic material:
For photos of the launch, please go to www.automechanika-hcmc.com/press

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