Four Gasoline Vehicle Groups in Ho Chi Minh City to Transition to Electric Vehicles by 2030

Ho Chi Minh City has set a definitive timeline to phase out gasoline vehicles in its transportation services. By 2030, all public buses, ride-hailing and delivery vehicles, government agency vehicles, and motorcycles used by public servants are expected to transition 100% to electric vehicles.

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According to the Vehicle Emission Control Plan and related initiatives advised by the Department of Transportation and the Department of Construction in Ho Chi Minh City, the period from now until 2030 is identified as a pivotal moment to transform urban transportation. Below are the four key vehicle categories targeted for conversion to electric power.

Bus System

As outlined in the Vehicle Emission Control Plan by the Department of Transportation and the Department of Construction in Ho Chi Minh City, the public passenger transport system is the first priority for a complete overhaul. Although the city’s bus network currently operates over 2,300 vehicles across 176 routes, electric buses account for only about 26%. Notably, vehicles powered by compressed natural gas (CNG), once considered eco-friendly, will no longer qualify as green energy under new standards.

Ho Chi Minh City aims to establish a network of over 3,600 electric buses by 2030

Consequently, all existing CNG and diesel buses must be converted or replaced. By 2030, the city aims to operate a network of more than 3,600 electric buses. To alleviate financial strain on businesses, the city has proposed a policy to subsidize up to 85% of loan interest rates, enabling investors to pay a nominal interest rate of 3% per year for a maximum of 7 years.

Ride-Hailing and Delivery Vehicles

In addition to public transportation, ride-hailing bikes and delivery vehicles, which significantly impact daily life, are also part of the aggressive conversion plan. With an estimated 400,000 vehicles, this sector is a major source of mobile emissions that requires regulation.

Ride-hailing drivers will receive support to transition their vehicles

The roadmap is highly specific: starting in 2026, the city plans to halt new registrations for gasoline-powered vehicles joining ride-hailing platforms. Active drivers will have a 3-year grace period to prepare before the complete ban on gasoline vehicles in commercial transport services takes effect on January 1, 2029.

To ensure worker welfare, a practical financial solution is being developed, allowing drivers to purchase electric vehicles through installment plans with monthly payments of approximately 1 million VND—equivalent to their fuel savings. Additional benefits include exemptions from registration fees and VAT.

Government Vehicles and Personal Vehicles of Public Servants

Ho Chi Minh City aims for 100% of public servants to use electric vehicles by 2030

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