Polaris, a US auto manufacturer probably most well-known for its Indian motorcycles brand has inaugurated its second factory in Vietnam, The Investor has reported. The factory covers 12 hectares and is estimated to have cost US$36 million. It has a capacity of 10,000 motorbikes and 30,000 motorbike engines each year.
Of note, motorcycles dominate transportation in Vietnam, with the high number of motorcycles reflecting their affordability, convenience, and ability to navigate the country’s dense urban areas and smaller rural roads.
Motorcycle sales, despite a decline of 16.21 percent in 2023 compared to 2022, still far exceeded car sales. The comparison between the over 2.5 million motorcycles sold and just over 214,000 passenger cars sold underlines how deeply motorcycles are integrated into daily life.
Furthermore, the approximately 70 million registered motorcycles, compared to only about five million cars, speaks to the long-standing reliance on two-wheelers in Vietnam, a common scenario in many Southeast Asian nations.
See also: Vietnam’s Automotive Industry: Foreign Investor’s Guide 2024