As Vietnam gets richer, locals trade bikes for cars

HANOI (Reuters) – Lai Yonghua pops the hood of a small, white sedan parked on the side of the road as a steady stream of scooters buzzes by.

“Made by BMW in Brazil,” he beams, holding his hand above the hot 1.6-liter engine of the Chinese-made Lifan 520. “Whaddaya think? Not bad for just over $10,000, right?”

Vietnam is a country of motorcycles, and its streets pulsate with the flow of two-wheelers, from aging workhorses such as the Honda Super Cub to sleek new Italian Piaggios.

The scooter has become to urban Vietnamese what the car is to American suburbanites — a must for every adult.

But that is changing as motorcycle sales start to dip, while industry analysts say demand is expected to rise for cars such as Lai’s sedan, made by Chongqing-based automaker Lifan, the company he represents in Vietnam.

“Sedans are definitely the future in Vietnam,” said Lai, clad in blue jeans, a red polo shirt and sneakers.

Reuters