Vietnam’s VinFast seeks to establish electric vehicle factory in Germany
Vietnamese car manufacturer VinFast, which is keen to expand with its electric vehicles to the US and Europe this year, is reportedly looking for a factory location in Germany, according to a report by German daily Frankfurter Allgemeine Zeitung.
VinFast wants to produce electric cars and buses at the facility, whose location has not yet been disclosed. VinFast is cooperating with Germany Trade & Invest, a company of the German government in charge of foreign trade and location marketing, to look for an ideal solution.
There is speculation that VinFast might be interested in a factory of German car maker Opel in Eisenach in central Germany, which is on the brink of closure but could fit into VinFast’s ambitious expansion strategy in Europe.
Underpinning the speculation is that the former head of Opel, Michael Lohscheller, who took over the CEO post of the Vietnamese automaker in mid-2021 for five months, could have proposed such a solution. Opel is part of the Stellantis Group, which also includes brands such as Peugeot, Citroen, Fiat, Chrysler and Jeep and has numerous production facilities around the world, the utilisation of which needs to be optimised.
VinFast’s electric car model to debut this year in Europe
VinFast has said that its first electric cars, the VF e35 and the VF e36, are to make their market debut in three European countries this year, including Germany. Initially, however, these models will still be imported from Vietnam, but later, they might be built in Germany.
Le Thi Thu Thuy, who succeeded Michael Lohscheller as CEO in December 2021 and is also vice-chairwoman of VinFast’s parent Vingroup, calls the potential plant in Germany a “milestone” in VinFast’s European strategy.
“The era of shipping cars around the world is over, especially since Covid-19,” she said, adding that “you must have the factory close to the market in order to win over your customers.”
“Finding a place in the European market”
With regards to the European markets, Thuy said that “VinFast wants to offer high-quality e-vehicles and a special customer experience at affordable prices. We are confident we can find a place in the European market, especially since the shift to e-vehicles in Europe is crystal clear.”
VinFast currently builds its cars in Vietnam at its production complex in Hai Phong near Hanoi. Currently it sells gasoline-engine vehicles, some of which are based on BMW technology. However, the combustion engine production is to be phased out at the end of this year in order to concentrate fully on electric mobility. Just recently, VinFast started to deliver its first e-vehicles to Vietnamese customers.
While no time frame has been given for the planned factory in Germany, VinFast stated in a recent announcement that it plans to open an electric vehicle plant and a battery plant in the US in the second half of 2024. Electric cars are also to be manufactured in the US starting from end-2024.
Vietnamese car manufacturer VinFast, which is keen to expand with its electric vehicles to the US and Europe this year, is reportedly looking for a factory location in Germany, according to a report by German daily Frankfurter Allgemeine Zeitung. VinFast wants to produce electric cars and buses at the facility, whose location has not yet been disclosed. VinFast is cooperating with Germany Trade & Invest, a company of the German government in charge of foreign trade and location marketing, to look for an ideal solution. There is speculation that VinFast might be interested in a factory of German car maker...
Vietnamese car manufacturer VinFast, which is keen to expand with its electric vehicles to the US and Europe this year, is reportedly looking for a factory location in Germany, according to a report by German daily Frankfurter Allgemeine Zeitung.
VinFast wants to produce electric cars and buses at the facility, whose location has not yet been disclosed. VinFast is cooperating with Germany Trade & Invest, a company of the German government in charge of foreign trade and location marketing, to look for an ideal solution.
There is speculation that VinFast might be interested in a factory of German car maker Opel in Eisenach in central Germany, which is on the brink of closure but could fit into VinFast’s ambitious expansion strategy in Europe.
Underpinning the speculation is that the former head of Opel, Michael Lohscheller, who took over the CEO post of the Vietnamese automaker in mid-2021 for five months, could have proposed such a solution. Opel is part of the Stellantis Group, which also includes brands such as Peugeot, Citroen, Fiat, Chrysler and Jeep and has numerous production facilities around the world, the utilisation of which needs to be optimised.
VinFast’s electric car model to debut this year in Europe
VinFast has said that its first electric cars, the VF e35 and the VF e36, are to make their market debut in three European countries this year, including Germany. Initially, however, these models will still be imported from Vietnam, but later, they might be built in Germany.
Le Thi Thu Thuy, who succeeded Michael Lohscheller as CEO in December 2021 and is also vice-chairwoman of VinFast’s parent Vingroup, calls the potential plant in Germany a “milestone” in VinFast’s European strategy.
“The era of shipping cars around the world is over, especially since Covid-19,” she said, adding that “you must have the factory close to the market in order to win over your customers.”
“Finding a place in the European market”
With regards to the European markets, Thuy said that “VinFast wants to offer high-quality e-vehicles and a special customer experience at affordable prices. We are confident we can find a place in the European market, especially since the shift to e-vehicles in Europe is crystal clear.”
VinFast currently builds its cars in Vietnam at its production complex in Hai Phong near Hanoi. Currently it sells gasoline-engine vehicles, some of which are based on BMW technology. However, the combustion engine production is to be phased out at the end of this year in order to concentrate fully on electric mobility. Just recently, VinFast started to deliver its first e-vehicles to Vietnamese customers.
While no time frame has been given for the planned factory in Germany, VinFast stated in a recent announcement that it plans to open an electric vehicle plant and a battery plant in the US in the second half of 2024. Electric cars are also to be manufactured in the US starting from end-2024.
