Vietnam's electric vehicle (EV) market has expanded in 2025, reflecting the country's growing participation in Southeast Asia's EV sector.

Vietnam ranked as the second-largest EV market in Southeast Asia during the first eight months of 2025, behind Thailand.

This ranking is based on sales data from VinFast, as other automakers, including BYD, Wuling, Mercedes, and BMW, have not disclosed their numbers.

VinFast has already exceeded its total sales from 2024. Analysts predict that Vietnam could surpass Thailand to become the region's largest EV market by the end of 2025.

Between January and August, battery electric vehicles (BEVs) accounted for a notable share of all cars sold in Vietnam, with three VinFast models among the ten best-selling vehicles in the country.

Industry sources attribute the increase to government incentives, including registration fee waivers, VinFast's free charging policy, and a rising preference among consumers for electric vehicles over internal combustion engine (ICE) cars.

In comparison, Thailand experienced a year-on-year increase in BEV sales during the same period, largely due to the expansion of Chinese automakers.

Overall car sales in Thailand have stagnated, with EVs now accounting for a significant portion of the market.

Despite its EV growth, Vietnam remains the fourth-largest overall auto market in Southeast Asia, after Indonesia, Malaysia, and Thailand.