Viet Nam - Recommendations to the National Roadmap and Action Plan for the Electric Mobility Transition

Investment Rating - The report does not explicitly provide an investment rating for the electric mobility sector in Vietnam. Core Insights - The report outlines a series of policy recommendations aimed at transitioning Vietnam's road transportation sector towards electric mobility (E-Mobility) using electric vehicles (EVs) to achieve significant emission reductions and energy independence [32][88]. - The transition is expected to require substantial investments in the power sector and charging infrastructure, with an estimated cumulative investment of up to US$9 billion needed by 2030 and US$14 billion annually from 2031 to 2050 [79][80]. - The E-Mobility transition is projected to create up to 6.5 million new manufacturing jobs by 2050 and save the economy up to US$498 billion in petroleum imports [91][93]. Summary by Sections Executive Summary - The report presents recommendations to achieve Vietnam's targets for reducing greenhouse gas emissions from the transportation sector, aiming for 50% of urban vehicles and 100% of urban buses and taxis to be powered by electricity by 2030, and 100% of all road vehicles by 2050 [32][33]. Context and Objectives - The report highlights Vietnam's commitment to reducing transportation sector emissions, which accounted for approximately 32.93 million tons of CO2 equivalent in 2021, representing 10.7% of overall energy-related GHG emissions [97]. Landscape for E-Mobility Transition - Vietnam is positioned as the world's second-largest market for electric two-wheelers (E-2Ws), with a market share of 12% in 2022, indicating a strong potential for rapid E-2W uptake [38]. E-Mobility Transition Pathways - To meet EV uptake targets, sales must increase from 500,000 units in 2022 to approximately 1.5 million by 2030 and 7.3 million by 2050, representing a total demand of over 7 million EVs from 2024 to 2030 [35]. Electrification of Public Transport - The report emphasizes the need for a complete transition to electric public buses by 2030, requiring the phase-out of 9,600 existing diesel buses and the addition of approximately 10,500 electric buses in Hanoi and Ho Chi Minh City [56]. Impact on Power System - The report projects that EV charging will not significantly impact Vietnam's power sector before 2030, but will require substantial additional generation capacity and network expansion post-2030, with an estimated 28% increase in power demand by 2050 [67][68]. Job Creation and Economic Benefits - The E-Mobility transition is expected to generate significant economic benefits, including job creation and reduced environmental damage costs, with potential savings of US$30 million by 2030 and US$6.4 billion by 2050 due to reduced local air pollution [91].