Mercedes-Benz is ready to export the brand’s S-Class flagship model to Vietnam under the Asian Trade in Goods Agreement (ATIGA) with Mercedes-Benz (Vietnam).
According to a statement from Mercedes-Benz (Thailand) Ltd, the first export units of the S 450 4MATIC Long Wheelbase will be delivered to Vietnam this year. This marks an important milestone in terms of collaboration between Mercedes-Benz brand in two countries, and enables future growth potentials in the automobile industry in ASEAN.
Roland Folger, president and CEO of Mercedes-Benz (Thailand) Ltd, said, “Following the launch of our new S-Class last year which we received great response from Thai customers, today we are proud to deliver this locally assembled flagship model to Thailand’s neighbor country like Vietnam where the automobile industry has great potential. This marks an important achievement for Mercedes-Benz Thailand and Mercedes-Benz Manufacturing Thailand. It was really a fantastic team effort from different departments at the two companies. Vietnam will be the first country in the region that we export our S-Class model, and we are exploring and evaluating possibility with Mercedes-Benz Vietnam to export other models to the country. We are also open for new opportunity to do business with other countries in ASEAN as well.”
Mark Berger, CEO of Mercedes-Benz Manufacturing (Thailand) Ltd, said, “We are always on the look for more business export opportunities within the region taking into account existing and potentially new regional trade agreements. The S-Class export from Thailand to Vietnam is our first export project, which is in line with our regional product strategy and, if economically feasible, we will look at other models to export, not limited to Vietnam but also to other countries as well.”
“Together with our headquarter and other ASEAN locations, we are constantly evaluating our regional footprint, which includes other models for possible import or export besides the S-Class. One important factor to consider is the tax and duties framework provided with the aim to satisfy our customers’ demand for luxury product offerings. It is also important to stress that we cannot achieve what we did today without highly skilled labors in Thailand who help ensure that each and every vehicle being manufactured here would come out with best quality and are ready to be exported to any country in the world,” he added.
The announcement of the Mercedes-Benz S-Class export to Vietnam is successfully organized under the ASEAN Trade in Goods Agreement (ATIGA). It aims to achieve free flow of goods in the region, resulting in less trade barriers and deeper economic linkages among member states, lower business costs, increased trade, and a larger market and economies of scale for businesses. Through ATIGA, Brunei, Indonesia, Malaysia, Philippines, Singapore, and Thailand have eliminated intra-ASEAN import duties on 99.65 percent of their tariff lines. Cambodia, Lao PDR, Myanmar, and Vietnam have reduced their import duties to 0-5 percent on 98.86 percent of their tariff lines. Today, focus is given to addressing non-tariff measures that could have non-tariff barrier effects on the region’s trade and business activities.