With Hanoi planning to restrict gasoline motorbikes from July next year, Vietnam’s leading conglomerate, Vingroup, wants to fully subsidize registration fees for VinFast electric bikes.
All VinFast two-wheel vehicles bought in the capital between July 24 and October 24 would be eligible for the subsidy, the company said in a proposal it submitted to city authorities Tuesday.
The current registration fee is equivalent to 5% of an electric motorbike’s price.
The company also offers a 10% discount for Hanoi buyers who pay in installments over three years following a 10% down payment and free charging until May 2027.
In all, the incentives for a buyer of a VND30 million (US$1,150) bike can go up to VND4.5 million.
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A person drives a VinFast electric bike. Photo by Minh Quan |
Following Prime Minister Pham Minh Chinh’s directive on July 12, from July 1 next year Hanoi will not allow fossil fuel-powered motorcycles or scooters within its circular Ring Road 1, or most of the capital’s downtown areas.
The restrictions will extend to personal cars within Ring Roads 1 and 2 by early 2028, and by 2030 to Ring Road 3.
Vingroup also proposes incentives for VinFast electric cars.
The company, in partnership with banks, will offer individual buyers loans with a 3% interest rate for the first three years and 4% for commercial buyers.
A 2022 study by the International Council on Clean Transportation found that two-wheeled vehicles met nearly 73% of Hanoi residents’ transportation needs.
The phased ban on gasoline-powered motorbikes is expected to significantly reshape the two-wheel vehicle market, including by persuading people to switch to fully electric vehicles.
