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How does Automechanika Ho Chi Minh City serve as a two-way gateway connecting the Vietnamese auto market to the world?

6 Feb 2024

With its rapid economic growth and strategic reinforcement of its automotive supporting industries, Vietnam is becoming an increasingly compelling destination among firms eyeing international expansion. Automechanika Ho Chi Minh City sheds light on this transformation, highlighting the country’s potential as both an enticing market and a production hub. The show will return to the Saigon Exhibition and Convention Center (SECC) from 20 to 22 June 2024. It stands as both the ideal gateway into the country as well as relevant international markets, with specialised zones and a varied event programme that provide first-hand insights into the country’s growing automotive industry.

Ms Fiona Chiew, General Manager of Messe Frankfurt (HK) Ltd, elaborates: “Bringing Automechanika into Vietnam was a strategic decision based on the potential we were seeing and continue to realise in the automotive market. Now entering its sixth edition, the show draws upon the Automechanika brand’s fifty-year legacy and network of 13 associated trade fairs and 130 partner organisations worldwide. Through leveraging the brand’s international standing and reach, we have created a common platform for firms to capture Vietnam’s unique market opportunities. Used by 41 countries and regions in the previous edition, we expect the scale of the 2024 show to increase.”

The upcoming edition expects to welcome over 500 exhibitors across 15,740 sqm of indoor and outdoor space.

Why is Vietnam an appealing market?

Vietnam has garnered attention among global manufacturers for its cost-competitive manufacturing capabilities and as a rapidly expanding consumer market in its own right. Projections indicate that by 2025, between 800,000 and 900,000 vehicles will be added to the country’s car ownership each year, increasing to approximately 1.5 to 1.8 million vehicles by 2030 [1].

Acknowledging this rising demand, the Vietnamese Government has initiated a series of policies intended to strengthen its supporting industries, a term used to denote suppliers of key materials, parts, and components used within subsequent stages of the production process. By improving the efficiency and competitiveness of the larger manufacturing ecosystem, these industries not only reduce lead times and logistic costs, but also enhance the sector’s resilience in the face of supply chain disruptions.

The measures, which include increased loan availability and financial support, a heightened focus on worker training, and stricter quality inspection standards, aim to improve the quality and output of domestically produced parts and facilitate their integration into global value chains [2]. While primarily targeted at fortifying the domestic industry, these policies offer a more favourable environment for foreign enterprises to source, collaborate and invest in, thereby raising the country’s profile as a production hub.

Complementing these efforts, Automechanika Ho Chi Minh City links suppliers and buyers across the entire automotive value chain, from parts and components to final assembly and aftermarket services. Backed by global connections, the event draws industry specialists, thought leaders and policymakers from around the globe.

Among the attendees are urban planners, government representatives, carmakers, manufacturers, and private and official fleet operators. These stakeholders are instrumental in shaping the country’s transportation systems and wider infrastructure; their work supports emerging, technology-driven solutions in the mobility, logistics and automotive industries, including the shift toward electric vehicles and the adoption of smart and sustainable mobility strategies. As a result, their participation presents fairgoers with a unique opportunity to interact with these influential figures directly.

Regionally tailored market insights

The event will feature a variety of specialised zones designed to reflect the country’s distinct market conditions. Notably, the Automotive Manufacturing, Transformation & Automation Zone will investigate significant trends in manufacturing, including AIoT, 3D printing, novel materials and more. As a part of this, it will evaluate the preparedness of Vietnamese suppliers for digital integration and industrial automation, providing valuable context for companies seeking to engage with the region.

Discussing this widescale transformation, Mr Do Dang Nguyen, Country Sales Manager, Factory Automation of Bosch Rexroth, commented: “The Vietnamese auto industry is expanding, backed by new factory developments and international investments. However, to sustain this growth, local factories must begin to progressively automate and digitise their systems. With its highly professional programme of seminars and speakers, Automechanika Ho Chi Minh City provides business owners with the information needed to guide their strategy in light of these shifts.”

Likewise, in keeping with the region’s expanding rate of car ownership, the Auto Repair, Maintenance & Care / Accessories & Customising Zone will enable participants to explore a range of electrical and mechanical repair and maintenance technologies, including specialised equipment and tools for new energy vehicles, car detailing and customisation. Meanwhile, the Automotive Mobility Solutions Zone will present the latest technologies and solutions in smart mobility, electric vehicles, logistics, the automotive OE and the aftermarket.

Commenting on his experience at the previous edition, Mr Chhayhear Yi, General Manager of Diamond Three Trading Co Ltd, recounted: “I visited Automechanika Ho Chi Minh City to identify auto parts suppliers for an export venture to Cambodia, and have had the opportunity to meet with companies from countries and regions including Vietnam, Japan, Korea, and China. As the largest and most professional exhibition of its kind that I have visited, it is a great opportunity for players from across the industry and the ASEAN region to gather, source, and network.”

For further market insights, the fair will host a varied fringe programme to assist businesses in navigating these emerging trends. Highlights include the Electrification & Digitalisation Business Networking Conference and the Automotive Logistics, Warehousing and Supply Chain Conference. These sessions will bring together local and international groups to explore broad-scale trends in new energy vehicle technology, digitalisation, and other transformations in the passenger, commercial, and fleet vehicle markets. To build a deeper awareness of the domestic automotive industry, autoFEST@HCMC will bring a medley of entertaining, interactive and networking activities for industry players and car lovers.

For more information, please visit www.automechanika-hcmc.com or contact Messe Frankfurt (HK) Ltd, +852 2802 7728 / autoasia@hongkong.messefrankfurt.com.

The trade fair is co-organised by Messe Frankfurt (HK) Ltd, Chan Chao International Co Ltd and Yorkers Exhibition Service Vietnam.

The brand’s flagship show, Automechanika Frankfurt, will return to the stage from 10 to 14 September 2024. Meanwhile, other Automechanika events organised by Messe Frankfurt’s Greater China offices include:

Automechanika Shanghai: 2 to 5 December 2024
www.automechanika-shanghai.com

Automechanika Kuala Lumpur: 1 to 3 August 2024
www.automechanika-kl.com

- End -

Press information and photographic material:

http://www.automechanika-hcmc.com/press

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[1] What’s Driving Increasing Car Imports in Vietnam?, Vietnam Briefing, April 2023, https://www.vietnam-briefing.com/news/vietnams-imported-car-market-2023.html/ (accessed: 19 October 2023)

[2] Vietnam approves Resolution 115 on Promoting Supporting Industries, Vietnam Briefing, August 2020, https://www.vietnam-briefing.com/news/vietnam-approves-resolution-115-promoting-supporting-industries.html/ (accessed 19 October 2023)

Your contact:
Suzy Heston
Phone: +852 2238 9907
Suzanna.Heston@hongkong.messefrankfurt.com
Messe Frankfurt (HK) Ltd
35/F China Resources Building,
26 Harbour Road,
Wanchai, Hong Kong

www.messefrankfurt.com.hk
www.automechanika-hcmc.com

Background information on Messe Frankfurt

The Messe Frankfurt Group is the world’s largest trade fair, congress and event organiser with its own exhibition grounds. With a workforce of some 2,300* people at its headquarters in Frankfurt am Main and in 28* subsidiaries, it organises events around the world. Group sales in financial year 2023 were more than € 600* million. We serve our customers’ business interests efficiently within the framework of our Fairs & Events, Locations and Services business fields. One of Messe Frankfurt’s key strengths is its powerful and closely knit global sales network, which covers around 180 countries in all regions of the world. Our comprehensive range of services – both onsite and online – ensures that customers worldwide enjoy consistently high quality and flexibility when planning, organising and running their events. We are using our digital expertise to develop new business models. The wide range of services includes renting exhibition grounds, trade fair construction and marketing, personnel and food services.
Sustainability is a central pillar of our corporate strategy. Here, we strike a healthy balance between ecological and economic interests, social responsibility and diversity.

For more information, please visit our website at: www.messefrankfurt.com/sustainability

With its headquarters in Frankfurt am Main, the company is owned by the City of Frankfurt (60 percent) and the State of Hesse (40 percent).

For more information, please visit our website at: www.messefrankfurt.com

* Preliminary figures for 2023

Background information on Chan Chao International Co Ltd and Yorkers Exhibition Service Vietnam

Chan Chao is the leading Taiwan-based international exhibition organiser, has achieved outstanding feat in organising high-technology, machineries as well as consumer-oriented exhibitions. Over three decades, Chan Chao has extended flagship brands into Bangladesh, Cambodia, China, Myanmar and Vietnam with their professionalism. Yorkers is the subsidiary office of Chan Chao in Vietnam. For more information, please visit: www.chanchao.com.tw/en