Chinese Vehicle Imports Into Vietnam Reach $1.26 Billion in H1 2026

Chinese Vehicle Imports Lead Vietnam’s Auto Trade

Chinese Vehicle Imports Into Vietnam reached about USD 1.26 billion in the first half of 2026, making China the country’s biggest source of imported cars by value. At the same time, Chinese automakers are moving beyond vehicle imports by developing local manufacturing and assembly operations. The scale of these projects could strengthen Vietnam’s automotive industry if investment produces more local output, supplier development, research and development, and technology transfer. Experts have therefore called for investment incentives to be linked to measurable contributions to the domestic auto ecosystem, rather than focusing only on headline investment commitments or production capacity.

Chery Expands Local Vehicle Production

Chery’s Omoda and Jaecoo brands were expected to begin production at a new plant in Hung Yen Province in mid-2026. The facility was planned with initial annual output of 30,000 to 60,000 vehicles, while future expansion could raise capacity to 200,000 units annually by 2030. Total investment could reach USD 800 million at full scale. The project represents a broader shift toward local manufacturing as Chinese brands seek to establish a stronger production footprint in Vietnam. Its long-term industrial value will depend on the extent of local sourcing, supplier participation, technical capability development, and other activities generated around the plant.

SAIC Motor and Geely Advance Assembly Plans

SAIC Motor, which operates the MG brand, is also discussing a local assembly project with potential partners. Its Vietnamese operation expects the project to launch from late 2027, adding another Chinese-backed manufacturing initiative to the country’s expanding automotive landscape. Separately, Tasco and Geely Auto are pursuing a CKD assembly plant at Tien Hai Industrial Park, which is now part of Hung Yen Province following the administrative change. The planned facility covers 30 hectares and carries an investment of about USD 168 million, with an initial maximum production capacity of 75,000 vehicles per year.

Localisation Could Shape Vietnam’s Automotive Benefits

The Geely and Lynk & Co brands are planned to be produced at the Tasco-Geely facility, giving the project a broader product scope than a single-brand assembly operation. Together, these investments could increase domestic vehicle production and create opportunities for component suppliers, engineering services, technical employment, and manufacturing know-how. However, the benefits will depend on how deeply the projects integrate into Vietnam’s wider automotive value chain. Linking incentives to local production, supplier development, research and development, and technology transfer could encourage Chinese automakers to create longer-term industrial capabilities rather than relying primarily on imported vehicles.

Frequently Asked Questions

How much were Chinese vehicle imports into Vietnam worth in the first half of 2026?
Chinese vehicle imports into Vietnam were valued at about USD 1.26 billion during the first half of 2026, making China the largest source of imported cars by value. The figure highlights the growing importance of Chinese automotive brands in Vietnam’s vehicle market. At the same time, Chinese automakers are increasingly pursuing local production and assembly projects. These investments could gradually shift the relationship from vehicle imports toward domestic manufacturing, provided companies develop local suppliers, expand technical capabilities, increase local output, and contribute to research and development and technology transfer.

Which Chinese automakers are planning manufacturing or assembly operations in Vietnam?
Several Chinese automotive groups are pursuing local manufacturing or assembly projects in Vietnam, reflecting a broader expansion of their industrial presence. Chery’s Omoda and Jaecoo brands were expected to begin production at a Hung Yen Province plant during mid-2026, while SAIC Motor was discussing a local assembly project expected to launch from late 2027. Tasco and Geely Auto are also developing a CKD assembly facility with planned annual capacity of up to 75,000 vehicles initially. The projects involve substantial investment and could support deeper automotive supply-chain development.