VinFast to double down on EV push in U.S. with USD 2 Bn investment

VinFast is reportedly planning to build worth USD 2 billion electric vehicle factory in North Carolina, the U.S., doubling down on its efforts to join the competitive global electric vehicle market. The Vietnamese automaker aims to produce electric buses, batteries for EVs, and two passenger vehicles in its new manufacturing plant.

Joe Biden, the President of the United States has confirmed that the country’s efforts to build a clean energy economy are driving more and more companies to the country while rebuilding the whole new supply chain as well as cutting down on the cost for Americans.

The construction of the new facility would begin soon once the required permit is acquired and is likely to finish by 2024. The factory would be able to produce around 150,000 vehicles every year, including all-electric SUVs – the seven-seater VinFast VF9 and five-seater VinFast VF8, the Vietnamese carmaker added.

VinFast has signed the memorandum of understanding with North Carolina which states that the company is free to expand its EV unit in the future.

Le Thi Thu Thuy, the CEO of VinFast claimed that North Carolina’s commitment to building a clean energy economy, focusing on reducing the greenhouse gas effect in transportation, and fighting against climate change, makes it an ideal location for VinFast to operate its environmentally friendly EV factory.

It is worth noting that Vingroup Joint Stock Company is the largest private conglomerate in Vietnam as well as the parent company of VinFast. Vingroup is owned by Pham Nhat Vuong, Vietnam’s richest man with a fortune Forbes estimate worth USD 6.3 billion.

It appears that VinFast has made the U.S. EV market its primary target, which is brimming with competition from established companies such as Detroit Automobile Company who will soon announce an electric version of its longstanding models.

VinFast will also take on other notable automakers such as General Motors Company, Ford Motor Company, Tesla Inc., newcomers like Rivian Automotive, Inc., and Fisker Inc.

Source Credits:

https://www.thejakartapost.com/business/2022/03/30/vietnams-vinfast-announces-2-billion-us-electric-car-factory.html