Honda's grip on Vietnam motorbike market looks shaky on EV switch


People ride their motorbikes duing rush hour at Hanoi's Old Quarter, in Hanoi, Vietnam, August 30, 2025. REUTERS/Athit Perawongmetha

HANOI (Reuters) -Honda's dominance of Vietnam's motorbike market is under threat as Hanoi pushes for a rapid switch to electric vehicles in a boost to local EV maker VinFast, according to industry data and the findings of a consumer survey.

Vietnam's Prime Minister Pham Minh Chinh issued a directive in July that bans after 12 months fossil-fuel-powered motorbikes from the centre of the capital Hanoi and extends the scope of the ban from 2028.

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