Capital's electric motorbike sales expected to skyrocket in response to impending prohibition
Vietnam's electric motorbike market is experiencing a significant surge, driven by strong government policies, active industry participation, and growing public interest in green mobility. According to recent projections, the market is expected to grow from approximately USD 66.54 million in 2025 to USD 90.91 million by 2030.
Key players in Vietnam's electric vehicle market include Honda Vietnam, with its entry into the electrification sector through models like the ICON e: and CUV e scooters. Other significant players include VinFast, BYD, TMT, Hyundai, and Wuling, particularly in electric cars but also making an impact in the two-wheel segment. Local manufacturing capacity is robust, with Honda operating three motorcycle plants in Vietnam, supporting both domestic sales and exports.
The Vietnamese government has adopted aggressive policies to accelerate electrification, such as the ban on petrol-powered bikes within Hanoi's Ring Road 1 from July 2026. This policy serves as a significant catalyst for EV adoption. Decision 876 also mandates that by 2030, all urban taxis must run on electricity or clean energy, signalling a nationwide move towards EVs across all vehicle types. Incentives, including a 0% registration fee until 2027 and reduced VAT, lower the upfront purchase costs by up to 12%, boosting both personal and commercial adoption of electric motorbikes.
Battery technology is currently dominated by lithium-ion technology, with improving economies of scale in domestic production. Infrastructure development is progressing, with battery-swap networks enabling users, especially delivery fleets, to recharge quickly. However, challenges remain in expanding charging infrastructure nationwide and improving battery longevity and cost-effectiveness to further scale consumer acceptance.
Startups like Selex Motors and Dat Bike have emerged in the electric two-wheeler market, offering innovative solutions such as battery-swapping stations and high-performance models. Traditional fuel-powered motorbike manufacturers have also begun entering the electric segment, though only on a trial basis.
The development of green public transport should be accelerated to ensure people's daily lives, especially at transit points such as bus stations, metro stations, schools, and markets. Hanoi will prioritise the building of charging stations at static traffic points, parking lots, and in residential buildings. The authorities of Hanoi's communes and wards should survey each household to assess how the e-bike policy will impact their lives.
In summary, the Vietnamese electric motorbike market is in a strong growth phase, supported by policy, industry leadership, and improving infrastructure. However, challenges related to battery technology and nationwide charging/swapping infrastructure expansion remain. The government’s bold policies and market trends indicate a positive future outlook with sustained growth over the next decade.
- With the growing adoption of electric vehicles in Vietnam, there is a rising interest among locals to incorporate related gadgets and technology into their lifestyle, such as smart electric-vehicle charging stations and energy management apps.
- Given the surge in the electric motorbike market and the government's focus on electric cars, it is likely that the demand for gadgets and technology associated with these vehicles, like high-performance electric car models and advanced battery management systems, will also increase substantially.
