To safeguard both public health and business development throughout the automotive industry in the midst of the global COVID-19 outbreak, organisers of Automechanika Ho Chi Minh City had announced in February to reschedule the 2020 show edition. After a careful assessment of the situation, the show will now take place from 20 to 22 August at the Saigon Exhibition and Convention Center (SECC). This Vietnam’s leading trade fair for the automotive service industry will heighten government incentives to speed up the localisation and growth of the domestic auto industry. The fair expects 360 local and overseas exhibitors showcasing the latest products, services and technologies.  

As always, Automechanika Ho Chi Minh City responds to ever-changing market needs. This year, the show sets to amplify the Vietnamese Government’s call to localise and expand the country’s automotive manufacturing capabilities, from OE right through to the aftermarket, by nurturing more foreign investment and international cooperation.

The recent COVID-19 outbreak has highlighted opportunities in the local automotive manufacturing market where it aims to become more self-sufficient and take on some of the demand in the global supply chain. In fact, international industry players also see favourable benefits in the domestic market. For example, the country recorded USD four billion of foreign direct investment (FDI) during the first quarter of 2020, of which the manufacturing and processing sector saw some of the highest gain^[1]. To foster such growth in the automotive industry, international exhibitors at the show will present cutting-edge products, services and technologies to the local market. Activities are also set to improve Vietnamese talent in the auto industry; facilitate business exchange between domestic and overseas players, as well as explore foreign investment opportunities that will inevitably lead to more localisation in the automotive manufacturing development.

A recent forecast has predicted Vietnam’s GDP growth still can reach 6.3 percent in 2020 as trade activities expect to pick up in the second half of the year^[2]. In efforts to achieve the 2020 growth target, the Vietnamese Government plans incentives to maintain market performance like providing tax-breaks and delaying tax payments that reduce pressure on businesses.

Ms Fiona Chiew, Deputy General Manager, Messe Frankfurt (HK) Ltd commented: “Despite current global challenges, it is encouraging to see an upswing of vehicle sales in Vietnam, with a year-on-year increase of 41 percent, during the first quarter of 2020^[3]. It reaffirms the market’s strong growth prospects. Over the past three editions, the show has continued to highlight Vietnam’s development opportunities in the auto industry. The upcoming fair will be no exception. I am optimistic the show in August will be as successful as previous years, with the wide backing from many exhibitors, supporters, partners, and visitors.”

Elaborating on the show’s safety parameters, Ms Chiew continued: “The safety of our participants is a top priority for us. To ensure good hygiene standards are maintained during the preparation and across the three-day show, our team is working diligently to follow regulations recommended by the local authorities. For example, we will closely monitor fairground sanitation, proactively offer temperature-checks, provide hand sanitiser for attendees and more. These measures will ensure Automechanika Ho Chi Minh City remains a safe business platform for all participants.”

Themes and sectors elevate visitor experiences

To drive business growth in the Vietnamese automotive market, the show puts “Business, Workshops and Experiences” at the core of its local development strategy. Both local and overseas exhibitors will accentuate collaborative opportunities to promote the passenger vehicle, commercial vehicle, motorcycle, and automotive manufacturing and automation segments.

A series of fringe programme events like the Automotive Service and Maintenance Workshops and the Smart Factory and Industry 4.0 Conference will allow fairgoers to capture a unique fair experience. On top of this, the onsiteBusiness Matching Programme aims to draw in exhibitors and visitors who are looking for collaboration and investment opportunities.

Ongoing support from industry stakeholders

In the move of rescheduling Automechanika Ho Chi Minh City to August, the show’s strategic partner and local supporters have backed the organisers’ decision. For example, with over 228,000 members, the Vietnam Automotive Technicians Network (OTO-HUI), the country’s leading portal for garages, automotive engineering, spare parts, accessories and technology, and one of the show’s local supporters gave an affirmative vote: “Over the past few years, with its industry recognition and growth, Automechanika Ho Chi Minh City has secured its rightful place in a series of annual automotive trade events across the region. Its global industry resources bring massive value to the local market. We appreciate that the organisers are making sharp decisions to ensure the event runs safely, for all stakeholders, both locally and abroad,” commented Mr Nguyen Thanh Dam, Founder of OTO-HUI.

Being the strategic partner and an exhibitor at the fair, Mr Vincent Prinzing, Export Area Manager at Liqui Moly also asserted the value of the show: “Industries around the world, including the automotive industry, are facing a challenging first half of 2020 as a result of the COVID-19 outbreak. To help recover from the economic difficulties, it is important that we leverage Automechanika Ho Chi Minh City’s platform for trade, network building and information exchange. The show in August will undoubtedly promote the robust local and ASEAN auto industries and support global players extending their footprint in these emerging markets.”

Automechanika Ho Chi Minh City is co-organised by Messe Frankfurt New Era Business Media Ltd, Chan Chao International Co Ltd and Yorkers Exhibition Service Vietnam. For more information about the latest arrangements, please visit www.automechanika-hcmc.com or contact Messe Frankfurt New Era Business Media Ltd, +852 2802 7728 /[email protected].

Background information on Messe Frankfurt

Messe Frankfurt is the world’s largest trade fair, congress and event organiser with its own exhibition grounds. With more than 2,600* employees at 30 locations, the company generates annual sales of around €733* million. We have close ties with our industry sectors and serve our customers’ business interests efficiently within the framework of our Fairs & Events, Locations and Services business fields. One of the Group’s key USPs is its closely knit global sales network, which extends throughout 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. The wide range of services includes renting exhibition grounds, trade fair construction and marketing, personnel and food services. Headquartered 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 2019

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

^[1] Vietnam attracts $4 billion FDI capital despite COVID-19 crisis, March 2020, Vietman Investment Review https://www.vir.com.vn/vietnam-attracts-4-billion-fdi-capital-despite-covid-19-crisis-75073.html. Retrieved March 2020.

^[2] Vietnam’s growth under pressure from global COVID-19 outbreak, February 2020, Vietnam News,https://vietnamnews.vn/economy/632783/viet-nams-growth-under-pressure-from-global-covid-19-outbreak.html. Retrieved March 2020.

^[3] Automobile sale up despite COVID-19 spread, March 2020, Vietnam Times,https://vietnamnews.vn/economy/653694/automobile-sale-up-despite-covid-19-spread.html. Retrieved March 2020.