HSBC Bank has recently reported that an estimated 12.3 billion USD in investment is needed to develop enough charging stations to support the growing popularity of electric cars in Vietnam. Despite the majority of people owning motorbikes rather than cars, Vietnam’s electric car market has immense potential, and HSBC believes that challenges such as high battery and car prices and limited charging station coverage need to be addressed.
To overcome these obstacles, HSBC emphasizes the importance of infrastructure development in the electric vehicle sector. The country currently has around 150,000 electric vehicle charging ports, but more investment is needed to expand this infrastructure, particularly along highways. In addition to infrastructure development, HSBC suggests that tax policies, subsidies, and partnerships with foreign businesses can help overcome price barriers and build a stronger ecosystem for electric vehicles in Vietnam.
While electric cars face challenges, the electric motorbike market in Vietnam is forecasted to be more favorable due to affordable prices and high localization rates. Domestic manufacturers like VinFast, Selex Motors, and Dat Bike are expected to play a key role in the growth of electric motorbikes in Vietnam. Overall, HSBC predicts that electric vehicle sales in Vietnam could reach 2.5 million units by 2036, showing significant growth potential for the sector.