Vingroup eyes second VinFast car plant in central Vietnam, report says

HANOI — Vietnam’s biggest conglomerate Vingroup is looking to establish a second VinFast automobile plant in the country, according to documents submitted to local authorities which were reviewed by Reuters.

The planned construction would be on a 3,700-acre plot in the northern central province of Ha Tinh, be developed by Vingroup’s Vinhomes property unit and house a new car plant and supported facilities, according to the documents, which were submitted to the Ha Tinh People’s Committee on April 13.

News of the expansion comes after sources told Reuters that VinFast, Vietnam’s first domestic car manufacturer, was considering an initial public offering in the United States in a deal that could value the carmaker at about $60 billion.

The new plant will be for producing and assembling cars and parts, the statement said.

A Vingroup spokesman was unable to provide comment.

“Local authorities and Vinhomes will meet and work together soon to finalize the plan,” a local official in Ha Tinh told Reuters by phone. The official declined to be named because they were not authorised to speak to the media.

VinFast became Vietnam’s first fully fledged domestic car manufacturer when its first gasoline-powered models built under its own badge hit the streets in 2019.

The company sold about 30,000 vehicles last year and has forecast sales of more than 45,000 for 2021. It is aiming to begin delivery of electric vehicles produced at its factory in the northern port city of Hai Phong to domestic customers by December this year.

Sources said last month Taiwan’s Foxconn was in early stage talks with VinFast about partnering on electric vehicles.

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