Vietnam Used Car Market Size (2024 - 2029)

Vietnam Used Car Market Analysis

The Vietnam Used Car Market size is estimated at USD 10.92 billion in 2024, and is expected to reach USD 24.14 billion by 2029, growing at a CAGR of 17.20% during the forecast period (2024-2029).

Over the medium term, the market is expected to grow due to increased digitalization and the introduction of new automotive startups with cutting-edge business models.

Various factors influence the decision to purchase a used car. Some of these factors include customers' preference for personal mobility and hesitance when making big-ticket purchases like cars.

The growth of the used car market may be hindered by certain factors such as standardized dealership experience, fair pricing experience, and high financing costs for used cars. The market is expected to see new opportunities due to government policies and the emergence of new technologies like electric mobility.

The Vietnamese government has implemented certain strategies to lower new car prices in the domestic market. These strategies include providing a SCT (Special Consumption Tax) rebate on certain automobiles based on engine displacement values. As a result, the used car market is experiencing intense competition as new car sales are expected to grow faster than used cars during the forecast period.

Vietnam Used Car Industry Segmentation

A used car, also known as a pre-owned or second-hand car, is a vehicle that has had one or more previous retail owners. These cars can be purchased from a variety of sources, including franchise and independent car dealerships, rental car companies, buy-here-pay-here dealerships, leasing offices, auctions, and private party sales.

The Vietnamese used car market is segmented by vehicle type, fuel type, booking type, and vendor type. By vehicle type, the market is segmented into hatchbacks, sedans, and sports utility vehicles (SUV) and multi-purpose vehicles (MPVs)). By fuel type, the market is segmented into gasoline, diesel, and others. By booking type, the market is segmented into online and offline. By vendor type, the market is segmented into organized and unorganized. For each segment, market sizing and forecast have been done based on value (USD).