
Study Period | 2020 - 2030 |
Base Year For Estimation | 2024 |
Forecast Data Period | 2025 - 2030 |
Market Size (2025) | USD 1.33 Billion |
Market Size (2030) | USD 3.70 Billion |
CAGR (2025 - 2030) | 22.70 % |
Market Concentration | Medium |
Major Players![]() *Disclaimer: Major Players sorted in no particular order |
Vietnam Taxi Market Analysis
The Vietnam Taxi Market size is estimated at USD 1.33 billion in 2025, and is expected to reach USD 3.70 billion by 2030, at a CAGR of 22.70% during the forecast period (2025-2030).
Vietnam's taxi industry has surged in recent years, driven by urbanization and rising demand for ride-hailing services. In 2024, 40.6% of Vietnam's population resided in urban areas, a figure that's been steadily climbing.
Ride-hailing and taxi services have become increasingly popular in Vietnam, largely due to their convenience and accessibility. With just a few taps on a smartphone app, users can book a ride and have a car arrive within minutes. This ease of use has reshaped travel habits in Vietnam, especially in bustling cities where parking is often a challenge. Like many countries, Vietnam boasts a significant population of smartphone users who value the convenience of on-the-go access. Notably, 52.1% of these users fall within the 18 to 24 age bracket.
Another driving force behind the rising demand for ride-hailing and taxi services in Vietnam is their affordability compared to traditional transportation methods. When factoring in parking costs, many find that using a ride-hailing service or taxi is more economical than owning and maintaining a personal vehicle. Technological advancements have significantly boosted the demand for these services. Smartphone apps have streamlined the booking and tracking process, while GPS technology and digital payment integrations have elevated the passenger experience.
Factors including convenience, affordability, safety, technological innovation, and environmental awareness are fueling Vietnam's robust demand for ride-hailing and taxi services. As long as these elements remain influential, the sector is poised for further growth and expansion.
Vietnam Taxi Market Trends
Surge in Electric Vehicle Sales Drives Market Expansion
In Vietnam, the rising adoption of electric vehicles (EVs) has spurred a significant uptick in demand for EV-related services. These services, increasingly seen as practical and cost-effective alternatives to traditional fuel-powered vehicles, are reshaping the nation's transportation landscape, including the taxi market. This shift is driven by heightened awareness of environmental sustainability, government incentives, and technological advancements in EVs. In 2024, the global EV sales soared to 13.68 million units, a marked jump from 3.18 million units in 2020. This trend underscores the swift pace of EV adoption and hints at the market's potential for exponential growth in the years ahead.
As more individuals embrace EV ownership, there's a parallel surge in demand for supporting infrastructure and services. Charging stations have proliferated in both urban and rural locales, making EV charging increasingly convenient. This expansion alleviates one of the primary concerns of potential EV owners: range anxiety. As a result, EVs are becoming a more attractive option for both daily commutes and long journeys, which is particularly relevant for the taxi market. The allure of EVs, bolstered by their convenience and environmental advantages, has captivated both locals and tourists. Moreover, this rising adoption has catalyzed innovations in ancillary services, including mobile charging solutions and subscription-based battery swapping programs, further enriching the user experience and offering new opportunities for taxi operators to optimize their services.
The uptick in EV adoption is reshaping Vietnam's automotive landscape, with significant implications for the taxi market. Domestic manufacturers are scaling up production to cater to the surging demand, while international entrants are infusing the market with advanced technologies and competitive pricing. This vibrant interplay not only invigorates the local economy but also cements Vietnam's stature in the global EV arena. Furthermore, government initiatives championing clean energy and curbing carbon emissions have been instrumental in hastening the shift towards electric mobility, encouraging taxi operators to transition to EV fleets. For instance,
- Xanh SM, a pioneer in Vietnam's electric ride-hailing sector, is revolutionizing mobility with zero-emission VinFast vehicles. Since its debut, Xanh SM has cut over 100,000 tonnes of CO2 emissions in 18 months and plans to expand globally. Leveraging AWS cloud technology and strategic partnerships, Xanh SM aims to provide sustainable, eco-friendly transportation solutions, aligning with Vietnam's goal of net-zero emissions by 2050.
With their affordability, accessibility, and eco-friendliness, EVs have become the go-to choice for many Vietnamese commuters, including taxi services. Given the relentless pace of technological advancements, the burgeoning charging infrastructure, and an intensified commitment to sustainability, Vietnam's EV sector is on an upward trajectory. As the nation strides towards a greener tomorrow, the continued rise of electric vehicles promises to further redefine its transportation landscape, unlocking fresh avenues for both businesses and consumers, particularly within the taxi market.

Ho Chi Minh City leads the market
In 2024, Ho Chi Minh City recorded a significant milestone with 115.75 million trips, underscoring the province's burgeoning market. This growth reflects the increasing mobility needs of both residents and tourists, driven by urbanization and economic development. Government initiatives are further energizing Vietnam's taxi market. For instance,
In December 2024, Ho Chi Minh City's municipal Department of Tourism set ambitious targets for 2025: welcoming 8.5 million international tourists and 45 million domestic visitors, aiming for a tourism revenue of VND260 trillion (USD10.2 billion). These targets highlight the city's focus on strengthening its tourism sector, which is expected to significantly boost the demand for taxi and ride-hailing services. The influx of tourists, coupled with the growing domestic travel market, is likely to create substantial opportunities for service providers in the transportation industry.
As ride-hailing and taxi usage surges, the market is set for significant growth. A key driver of this uptick has been the influx of international tourists to Vietnam over recent years. Notably, Ho Chi Minh City, a favored destination for many tourists, has been at the forefront of this rapid industry expansion.
Ho Chi Minh Province grapples with a swiftly urbanizing population, limited public transport, and escalating traffic congestion. These challenges have spurred a heightened demand for private transportation. The lack of efficient public transit options has made private modes of transport, such as taxis and ride-hailing services, a preferred choice for many. As tourists flock to the region and residents increasingly seek the convenience of private transport, the taxi and ride-hailing industry witnesses robust growth. Additionally, the increasing penetration of the internet and smartphone usage in Vietnam is enabling easier access to ride-hailing platforms, further driving the adoption of these services. This trend is expected to continue over the forecast period, contributing to the sustained growth of the market.
The regional government is championing electric vehicle adoption as a key strategy to address transportation challenges. Their broader goals include curbing greenhouse gas emissions, easing traffic congestion, and enhancing urban living standards. By promoting the use of electric vehicles, the government aims to create a more sustainable and efficient transportation ecosystem. Such initiatives not only play a role in combating climate change but also foster a thriving environment for taxi and ride-hailing services in cities like Ho Chi Minh City. These measures are expected to attract investments in the sector, encourage innovation, and support the development of eco-friendly transportation solutions, further solidifying the market's growth trajectory.

Vietnam Taxi Industry Overview
In Vietnam's taxi market, traditional operators and tech-savvy ride-hailing platforms are locked in a battle for supremacy. Over the years, these companies have cultivated a reputation for reliability, primarily catering to customers who favor traditional booking methods and fixed pricing. Yet, they grapple with challenges: surging operational costs, from fuel to maintenance, and a rising consumer tilt towards the convenience of app-based services. In a bid to seize a larger slice of the market, players are broadening their horizons. For instance,
- In January 2024, Mai Linh Corporation bolstered its presence by expanding services in Hanoi, Da Nang, and Dong Nai.
Conversely, ride-hailing titans like Grab and Be harness the power of efficient app-based bookings and competitive pricing, claiming a substantial market share. Their diverse offerings, spanning bike taxis to carpooling, cater to a spectrum of customer demands, from affordability to speed and convenience. The uptick in smartphone adoption and enhanced internet access in urban and semi-urban locales has fueled their swift ascent. These platforms further capitalize on sophisticated algorithms that refine routes and pricing, elevating the customer experience. Yet, challenges loom large: mounting regulatory scrutiny, adherence to local laws and tax mandates, and intensifying competition from emerging local entities eager to stake their claim. As the market landscape evolves, both traditional and app-centric services must adapt, embracing technological shifts and navigating regulatory changes to stay in the race.
In the recent years, Xanh SM has emerged as a prominent player, offering traditional taxi services and ride-hailing services. The company entered the market in April 2023 and since the establishment, the company has focused on rapid presence expansion across 61 provinces in Vietnam. The company operates through an innovative business model, where the company own its own fleet of electric vehicles and drivers operate as full-time employee for the company. This business model and competitive pricing has helped the company gain signficant consumer base and has helped the company become leading company.
Vietnam Taxi Market Leaders
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Xanh SM (GSM)
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Grabtaxi Holdings Inc.
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Be Group JSC
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Mai Linh Corporation
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Vinasun Corporation
- *Disclaimer: Major Players sorted in no particular order

Vietnam Taxi Market News
- December 2024: Effective January 1, 2025, Vietnam's updated taxi regulations, under Decree No. 158/2024/ND-CP, will allow passengers to negotiate fares directly with taxi operators. To ensure transparency and accountability, businesses will be required to issue e-invoices at the end of each trip. These changes are part of the government's broader efforts to standardize road transport and enhance taxi service operations.
- October 2024: Mai Linh and Taxi Group launched VinFast VF 3 electric taxis in northern Vietnam, offering fares as low as VND 6,000 ($0.24) per km—50% cheaper than gasoline taxis. This undercuts traditional taxis and ride-hailing apps like Grab and Vinasun, whose rates start at VND12,000 ($0.47) per km, prompting a market-wide reassessment of pricing strategies.
- April 2024: Lado Taxi entered into a memorandum of understanding with Green and Smart Moving JSC (GSM), a subsidiary of Vingroup. The deal entails Lado Taxi acquiring and leasing an additional 2,500 VinFast electric cars over the next three years. GSM is set to deliver 500 vehicles in 2024, bringing Lado's electric taxi fleet close to the 1,000 mark. The remaining 2,000 cars are slated for delivery in 2025 and 2026.
Vietnam Taxi Industry Segmentation
Taxi services encompass both ride-hailing platforms and traditional offline taxis. Ride-hailing, an online service, connects passengers with drivers through websites and mobile apps. In contrast, traditional taxis can be hailed directly from the street, without the need for any app or website booking.
Vietnam Taxi Market is segmented by Service Type, Propulsion Type, and Province. By Service Type, the market is segmented into Traditional Taxi and Ride-Hailing. By Propulsion Type, the market is segmented into Internal Combustion Engine (ICE) and Electric & Hybrid. By Province, the market is segmented into Ho Chi Minh City, Hà Nội, Quảng Ninh, Binh Duong, Vũng Tàu, Dong Nai, Bắc Ninh, Đà Nẵng, Thanh Hóa, Thái Nguyên, Vĩnh Phúc, Cần Thơ, Hưng Yên, Phú Thọ, Ninh Bình, Huế and Others. For each segment, market sizing and forecast have been done on the basis of value (USD).
Service Type | Traditional Taxi |
Ride-Hailing | |
Propulsion Type | Internal Combustion Engine (ICE) |
Electric and Hybrid | |
Province | Ho Chi Minh City |
Ha Noi | |
Quang Ninh | |
Binh Duong | |
Vung Tau | |
Dong Nai | |
Bac Ninh | |
Da Nang | |
Thanh Hoa | |
Thai Nguyen | |
Vinh Phuc | |
Can Tho | |
Hung Yen | |
Phu Tho | |
Ninh Binh | |
Hue | |
Others (Hai Phong, Nghe An, Etc.) |
Vietnam Taxi Market Research FAQs
How big is the Vietnam Taxi Market?
The Vietnam Taxi Market size is expected to reach USD 1.33 billion in 2025 and grow at a CAGR of 22.70% to reach USD 3.70 billion by 2030.
What is the current Vietnam Taxi Market size?
In 2025, the Vietnam Taxi Market size is expected to reach USD 1.33 billion.
Who are the key players in Vietnam Taxi Market?
Xanh SM (GSM), Grabtaxi Holdings Inc., Be Group JSC, Mai Linh Corporation and Vinasun Corporation are the major companies operating in the Vietnam Taxi Market.
What years does this Vietnam Taxi Market cover, and what was the market size in 2024?
In 2024, the Vietnam Taxi Market size was estimated at USD 1.03 billion. The report covers the Vietnam Taxi Market historical market size for years: 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Vietnam Taxi Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
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Vietnam Taxi Industry Report
Statistics for the 2025 Vietnam Taxi market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Vietnam Taxi analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.