Automobile Association advises against new traffic fees

The Vietnam Automobile Manufacturers Association has advised the National Assembly Steering Committee and the Government against implementation of the new traffic fees on ownership of private vehicles and toll entry into the city centre for the time being.

Car assembly line at the Mercedes-Benz factory in HCMC (Photo: SGGP)

The association is of the view that if fees are implemented right now, they will disrupt output of the auto manufacturing and trading industry.

An association representative said on Tuesday that a similar suggestion had also been sent to relevant ministries and departments.

The Ministry of Transport had proposed a new traffic fee charge on ownership of private vehicles and on entry of cars into the city centre during rush hour.

After an increase on registration fee since January 1, 2012, businesses cannot afford another charge to be levied as this would certainly affect the automobile industry.

According to the Ministry of Industry and Trade, the automobile industry creates jobs for about 50,000 people and sub-contracts work in which hundreds of others find employment, adding US$2 billion a year to the State budget.

The Ministry of Transport and other relevant ministries should synchronise a work plan and find a long term solution to improving traffic regulations without disrupting the auto industry and the everyday commuter.

By Bich Quyen – Translated by Hai Mien

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