Prime Minister Pham Minh Chinh has requested the Ministry of Finance (MoF) to urgently study the impact, and to complete and propose to the Government a decree on registration fee collection rates for domestically-produced and assembled cars within this month.

The Ministry of Finance has rejected the Vietnam Automobile Manufacturers’ Association (VAMA) proposal to continue reducing the registration fees for new domestically-produced cars by 50 percent.

The European Chamber of Commerce in Vietnam (EuroCham) proposed the Government to apply a 50 percent registration fee reduction to all automotive assembly firms, importers and dealers of new vehicles.

The Ministry of Finance has officially asked the Government to cut 50 percent of the registration fee for customers who buy locally-produced and assembled automobiles.

Total State budget collection in the first five months of this year was estimated at 508.6 trillion VND (21.86 billion VND), fulfilling 43.5 percent of the estimate and up 14.1 percent year-on-year, the General Department of Taxation (GDT) reported.

In the Vietnamese auto market, pick-up trucks are becoming a bestseller thanks to their versatility and low prices and registration fee, auto dealers said.