Explore how Vietnam’s 2025 sedan market splits, with luxury brands rolling out new models while affordable options lag behind. Discover the trends now!
2025: A Busy Year for Vietnam’s Car Scene
More than 60 new models and upgraded versions hit Vietnamese showrooms in 2025, making the year one of the most dynamic in recent memory. While SUVs and MPVs kept their usual high‑volume pace, the sedan segment revealed a stark contrast between the high‑end and mass‑market camps.
Luxury Brands Accelerate Their Sedan Line‑up
BMW launched the eighth‑generation 5 Series in Q2, offering three locally assembled trims. The new 5 Series is larger on every dimension, features refreshed front and rear bumpers, an upgraded cabin, and retains the familiar 2.0‑litre engine.
Audi followed with the A5 in Q2 and added the A6 in Q4. The A5 is positioned against the BMW 3 Series and Mercedes‑C Class, while the A6 targets the price bracket of the BMW 5 Series and Mercedes‑E Class, using a simplified equipment list to keep costs competitive.
Mercedes‑Benz introduced a new‑generation E‑Class with three trims, showcasing a sleeker, younger exterior and a revamped interior layout that includes up to three screens in the cockpit, depending on the variant.
Volkswagen continued to court speed enthusiasts with nearly ten Golf hatchback versions, spanning a wide price range that accommodates buyers from a few hundred million to almost two billion đồng.
Volvo refreshed the S90, dropping the conventional gasoline engine and keeping only the T8 Recharge plug‑in hybrid. The move sparked debate over the omission of the B6 mild‑hybrid, but the S90 still attracted considerable attention.
Super‑luxury names such as the McLaren 750S MSO Orange and the Rolls‑Royce Ghost Series II also added to the high‑tech, high‑price race, reinforcing the premium narrative for 2025.
Mass‑Market Sedans: A Sparse Offering
By the end of December, the Vietnamese market saw just three new entry‑level sedans: the Skoda Slavia, Skoda Octavia RS, and the BYD Seal 5.
Only two of these models are priced below one billion đồng, truly fitting the “affordable” tier. The Octavia RS, despite its dimensions matching the Honda Civic and Kia K3, is marketed as a high‑performance sedan, competing with the Volkswagen Golf R, Subaru WRX, and Honda Civic Type R.
The Skoda Slavia and BYD Seal 5 bring fresh design cues and power‑train options, yet they struggle to heat up a segment increasingly overrun by SUVs.
Pricing barriers for European brands like Skoda and cautious consumer sentiment toward Chinese plug‑in hybrids have forced these newcomers into a fierce battle with sales giants such as the Toyota Vios and Hyundai Accent, which focus mainly on modest incremental updates rather than full‑scale redesigns.
Why the Shift? Consumer Preference for Height
Vietnamese buyers in the 500‑million‑to‑900‑million‑đồng bracket are moving away from traditional sedans. They now favor compact SUVs and versatile MPVs for their higher ride‑height, larger cargo space, and perceived safety advantages.
This preference has prompted mass‑market manufacturers to pour resources into “high‑ground” models, leaving the sedan segment largely static, with few bold newcomers.
Outlook: Will Sedans Return?
As emissions regulations tighten and green‑vehicle incentives gain momentum, the future could see a revival of affordable sedans equipped with entirely new power‑train architectures. Until then, 2025 remains a year of clear division: luxury brands turning sedans into technology flagships, while budget marques retreat to the defensive line.