Škoda enters into vietnam Market with a special Event

 

Škoda Auto has taken an important step in its internationalisation strategy with its entry into the Vietnamese market. A celebratory event took place with representatives of the Vietnamese and Czech governments alongside Škoda’s local distribution and production partner, TC Group.

 Škoda Auto projects a rapid expansion of the dealer network to as many as 30 partners and an annual sales potential of over 40,000 units beyond 2030. The first models, starting with the Karoq and Kodiaq, will be imported from Europe. Local CKD production, planned to start next year, aims to leverage synergies due to the country’s proximity to India. Škoda views Vietnam as a gateway to the promising ASEAN region.

The Czech car manufacturer presented the Kvasiny-produced SUV model series Karoq and Kodiaq, which will be the first models available on the local market. Customers can purchase these at the first Škoda showroom in Hanoi from 25 September onwards. Additional showrooms in central and south Vietnam are in the pipeline. 

The goal is to expand the dealer network to 20 Škoda dealerships by 2025 and 30 by 2028. The Octavia and Superb models are slated for importation to Vietnam in the medium term. Additionally, the all-electric Enyaq family is being introduced to cater to the growing demand for electric vehicles among Vietnamese consumers.

Starting in the second half of 2024, Škoda will be tapping into significant regional synergies. By then, the first Kushaq vehicles will have been exported from the Pune facility in India to Vietnam for assembly from CKD (Completely Knocked Down) kits, with the Slavia set to follow in 2025. Viet Hung Industrial Park, where the TC Group-owned plant is located, could be used in the future to expand production with a view to potentially exporting Škoda models across the entire ASEAN region.

Klaus Zellmer, Škoda Auto CEO, says, “We are excited to engage with Vietnam’s dynamic economy and a new group of customers in this fast-growing market. This is also the next step in our accelerating internationalisation strategy, strengthening our brand in the ASEAN region and intensifying the synergies between our two key markets of India and Europe”.