Toyota Wigo 2023: Opportunities and challenges before Korean cars and VinFast electric cars

Toyota Wigo 2023: Opportunities and challenges before Korean cars and VinFast electric cars 2

(Dan Tri) – Having a more accessible price than competitors in the same segment and some highlights in terms of equipment, the Toyota Wigo 2023 needs to overcome some barriers if it wants to have breakthrough sales.

Launched in Vietnam for the first time in 2018, Wigo entered the sales race in the A-class hatchback segment with a brand advantage.

After 4 years of `struggling` with consumption often falling at the bottom of the segment, Toyota Wigo stopped selling in Vietnam in August 2022.

Toyota Wigo 2023 is still imported in complete units from Indonesia.

Opportunity to improve sales

The A-class hatchback segment in 2023 has shrunk a lot with the withdrawal of VinFast Fadil and Honda Brio.

In this comeback, Toyota Wigo has eliminated competitors, increasing its ability to expand market share.

In the new generation, this car model has many notable new upgrades, such as LED headlights, a 7-inch entertainment screen with Apple CarPlay/Android Auto connectivity right from the standard version.

Toyota Wigo 2023: Opportunities and challenges before Korean cars and VinFast electric cars

The design of the Toyota Wigo 2023 is more youthful than the old one, easily `suitable` for the majority (Photo: Nguyen Lam).

The weakness of the old Toyota Wigo, which was less safety equipment, has now been overcome in the 2023 model. The manufacturer added electronic balance features and hill start support to this model.

On the G version, there is also the appearance of blind spot warning and rear cross-traffic warning, helping Wigo become a product with leading technology content in the A-class hatchback segment.

Toyota Wigo 2023: Opportunities and challenges before Korean cars and VinFast electric cars

The interior of the Toyota Wigo 2023 is more modern than the old model, but the seats are still only covered with felt while competitors use leather (Photo: Nguyen Lam).

With the selling price for the highest version (G version) being 405 million VND, Toyota Wigo 2023 is more accessible to users than Hyundai Grand i10 (highest 455 million VND) or Kia Morning (439 million VND in high version).

The challenge comes from the import factor

Right before the Toyota Wigo 2023 was launched, the Government agreed to reduce registration fees by 50% for domestic cars, expected to apply from July 1.

As a completely imported car, Toyota Wigo 2023 will not benefit from this incentive.

Toyota Wigo 2023: Opportunities and challenges before Korean cars and VinFast electric cars

When registration fees for officially assembled cars are reduced by 50%, buyers of Hyundai Grand i10 or Kia Morning cars will save 20-30 million VND (Photo: TC Motor).

In addition, importing complete units may prevent Toyota Wigo from being proactive in supply due to its dependence on the assembly plant in Indonesia.

Cheap electric cars `surrounded`

Another barrier that the Toyota Wigo 2023 will encounter is electric vehicles.

With a suggested retail price of 458 million VND (without battery) and 100% exemption from registration fees according to the State’s electric vehicle support policy, VinFast VF 5 Plus can compete directly with Toyota Wigo despite its positioning.

Toyota Wigo 2023: Opportunities and challenges before Korean cars and VinFast electric cars

Different segment, but in terms of price, VF 5 Plus is also a competitor of Toyota Wigo (Photo: Nguyen Lam).

VinFast VF 5 Plus is equipped with advanced driver assistance system ADAS and in terms of technology is equally impressive as Toyota Wigo.

In addition, many cheap mini electric car models will be launched in Vietnam in the near future.

The first product launched in our country will most likely be the Wuling HongGuang MiniEV, expected in July. The car is assembled at TMT Motors’ factory located in Hung Yen, the first units have been shipped and are in the final stages.

Toyota Wigo 2023: Opportunities and challenges before Korean cars and VinFast electric cars

According to data from JATO, in 3 years (from 2020, 2021 and 2022), Wuling HongGuang Mini EV is the best-selling mini electric car model in the world (Photo: Oto+).

At the end of May, another mini electric car model also originating from China was revealed in Vietnam, which is the Zhidou A01.

Even though it has a wheelbase of only 1,030mm, the Zhidou A01 will still have 4 seats (Photo: Otofun).

VinFast also has a product that `competes` in this category, the newly launched VF 3 model.

Unlike the mini electric car models mentioned above, Vietnamese brand products have the advantage of a charging station system spread almost nationwide, bringing convenience to users.

VinFast VF 3 is receiving a lot of attention from Vietnamese customers thanks to its strong and square design like a cross-country vehicle (Photo: VinFast).

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