Registration fee for domestic cars to be reduced by half from December

Registration fee for domestically- produced or assembled cars shall be reduced by half from December 1, 2021 to May 31, 2022.

The new policy is stated in the Government’s Decree No. 103/2021/ND-CP dated November 26, 2021.

The move is part of the Government’s effort to stimulate car sales and support the local automobile industry amid the COVID-19 pandemic, and the second round of fee reduction in the past two years.

In early November, the Ministry of Finance proposed the Government to slash registration fees for local cars by 50 per cent until May 2022, to increase sales and encourage recovery in the automobile industry.

Statistics showed that over 102,900 domestically produced automobiles were registered in the first half of last year. That number doubled in the second half of the year, when the fee was halved in a similar way to the latest proposal. As a result, tax revenue increased by VND 14.11 trillion (US$613.48 million)./.

(Source:VGP)