Transport Hanoi Launches Subsidy Scheme to Replace 450,000 Motorbikes

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Photo courtesy of VN Express

 

Hanoi is poised to make a significant leap towards sustainability by launching a major subsidy programme to replace approximately 450,000 gas-powered motorbikes with electric models. This bold move comes ahead of a forthcoming ban, set to begin in July 2026, on gasoline-powered two-wheelers within the city's Ring Road 1.

 

Prime Minister Pham Minh Chinh announced the directive, focusing on areas encircling the iconic Sword Lake and West Lake. The initiative aims to revolutionise Hanoi’s transport landscape and tackle the city's rising air pollution problem.

 

City officials have revealed that the financial support package will cover nearly all transition costs for residents in the area, including registration fees and licensing for the new electric vehicles. This comprehensive coverage is designed to ensure a seamless shift to greener alternatives. The programme will particularly prioritise those living inside Ring Road 1, as well as regular commuters who travel through this central zone, according to Duong Duc Tuan, vice chairman of Hanoi People's Committee.

 

Beyond individual subsidies, Hanoi is making strategic investments in green transport infrastructure. Plans are underway to enhance the city’s fleet of small electric buses and four-seater EV shuttles catering to downtown services. Expanded charging facilities will also be installed across parking lots, public garages, and residential buildings, ensuring accessibility for electric vehicle users.

 

Currently, two metro lines serve the central area, with additional routes being developed. An inter-agency task force has been established to oversee the seamless transition and expedite infrastructure deployment, reflecting the city's commitment to a sustainable future.

 

The directive includes a phased expansion of the ban: starting with Ring Road 1 by July 2026, moving to Ring Road 2 by 2028 to include both motorbikes and gasoline cars, and eventually reaching the outlying Ring Road 3 by 2030. This strategy is part of a broader plan to establish a low-emission zone in the capital.

 

To further stimulate adoption, Hanoi plans to increase fees for fossil fuel vehicles operating in the city centre starting mid-2025. This approach is designed to incentivise the switch to greener vehicles and reduce the number of petrol-powered vehicles on the roads.

 

Hanoi is home to over 9.2 million vehicles, with around 6.9 million motorbikes and 1.1 million cars. An additional 1.2 million vehicles from other provinces regularly traverse the capital’s roads. This ambitious plan not only aims to alleviate air pollution but also sets a benchmark for urban environmental responsibility.

 

With these measures, Hanoi is not merely adapting to change but actively leading it, setting a precedent for cities across the region.

 

  Adapted by ASEAN Now from VN Express 2025-07-16