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Vietnamese EV maker VinFast considers delaying US$4 billion US plant: Report

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Vietnam Notícia

Electric Vehicles

Vietnamese electric car maker VinFast is looking at further delaying a planned US$4 billion factory in North Carolina, a person briefed on the matter said, as the loss-making company struggles to gain favour with U.S. consumers.

FILE PHOTO: VinFast electric vehicles are parked before delivery to their first customers at a store in Los Angeles, California, U.S., March 1, 2023. REUTERS/Lisa Baertlein/File Photo

VinFast, which sold fewer than 1,000 cars in North America last year, said in a statement to Reuters it was"conducting a thorough review and evaluation of all aspects of the construction process for our North Carolina factory." When VinFast announced in March 2022 its plans for the North Carolina factory, U.S. President Joe Biden said the plant would create more than 7,000 jobs.Republicans won North Carolina in the 2020 presidential elections by a small margin and Biden's campaign is spending heavily to win the state in the November presidential election.

Most of its cars sold domestically are also sold to related parties. Its net loss last year widened 15 per cent to US$2.4 billion.Despite weaker global demand for EVs and a price war, VinFast said there have been no changes to its goal of selling 100,000 cars this year, twice as many as it targeted in 2023, as it expands abroad.

It also confirmed plans to establish an assembly plant in Indonesia and another assembly plant in India by 2026.

 

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