Hanoi’s Electric Vehicle Shift Requires More Time, Warns Motorbike Makers Association

This month, Hanoi’s government announced a bold initiative to ban fossil-fueled motorbikes from the city’s Ring Road 1, an area that encompasses much of the bustling downtown, with the prohibition set to take effect by mid-2026. However, the Motorbike Manufacturers Association, which includes industry giants like Honda, Yamaha, Suzuki, Piaggio, and SYM, believes the timeline is unrealistic and should be extended.

While the association recognizes the necessity of reducing emissions, it underscored the significant challenges posed by such an aggressive plan. “Residents, businesses, and regulators need at least two to three years to prepare for this shift,” the group recently communicated to government officials. They proposed a more gradual approach that starts with banning older, high-emission vehicles, then progressively targets commercial bikes, delaying the ban on personal vehicles.

Their concern centers on the financial strain this abrupt transition could place on low-income residents who may struggle to afford new electric vehicles. Manufacturers echoed these sentiments, warning that the costs associated with shifting to electric production could lead to substantial financial losses.

Hanoi is a crucial market for Honda, which holds the largest market share in Vietnam’s two-wheeler sector. In the previous year alone, Honda sold 2.15 million two-wheelers in Vietnam, with 190,000 of those sales happening in Hanoi. The association further highlighted the complex web of suppliers—around 200 firms primarily focused on internal combustion engine components—who could be jeopardized if the transition to electric bikes occurs too swiftly. The lack of adequate public charging infrastructure is another pressing concern.