VinFast kicks off five-year construction of first EV plant in India

The Vietnamese automaker says the key goal of the new EV production facility is to curb carbon emissions in the transport sector of India. The country’s government is targeting 30% of new registered private vehicles to become electric and now hopes a large chunk of those will be VinFast models. Thuy said the company was targeting “two big markets”, Indonesia and India, where it would implement a battery leasing scheme with customers paying a monthly fee the same or lower than the gasoline cost for equivalent vehicles.

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Find out everything you need to know ahead of the VinFast IPO. Pham Nhat Vuong has an estimated net worth of $55.9 billion, making him the richest person in Vietnam and the 23rd richest in the world. He is the chair of Vingroup, the largest conglomerate in Vietnam, with units in the real estate development, EV, technology and retail sectors. Monday, just two weeks after its debut on the Nasdaq Global Select Market with a share price of $10 and a valuation of $23 billion following a merger with Black Spade Acquisition Co. in a special purpose acquisition company (SPAC) deal. Images and videos shown contain pre-production level vehicles. Announced prices are subject to change and do not include destination charge or any applicable tax, title, registration, and license fees.

1. With multiple new models like the VF 3 and eventually an all-electric pickup based on the Wild concept unveiled at CES, VinFast is showing no signs of slowing down and continues to wield the power of its parent company, VinGroup’s massive checkbook.
2. Cash due at signing includes $249 first month’s payment, $695 acquisition fee, and $0 security deposit.
3. Two of his private investment companies, Vietnamese Investment Group and Asian Star, own an additional 1.1 billion shares.
4. “We saw favorable results in our business operations in the fourth quarter with strong revenue growth and improved profit margins,” Anh Nguyen, Vinfast Chief Financial Officer said in a statement.

HANOI — Vietnamese electric vehicle (EV) maker VinFast on Thursday reported a smaller-than-expected 133% jump in fourth-quarter revenue but said it aimed to nearly triple vehicle sales this year as it expands into new markets. Vietnamese electric vehicle maker VinFast on Thursday reported a net loss of more than $2 billion in 2023 after missing its sales target, despite a 90 percent increase in revenue. VinFast is now investing heavily into ema forex succeeding overseas with a preliminary deal to invest $2 billion into its North Carolina factory to make electric buses, sport utility vehicles and batteries for other electric vehicles. In its first year, VinFast created an assembly plant in the northern port city of Haiphong with an initial annual production capacity of 250,000 vehicles, which expanded to 500,000 units/year later due to the rising domestic and international demand.

VinFast App

Fewer than 1,000 units were sold in North America, Thuy said, adding that new dealerships would boost VinFast’s sales this year compared to its direct sales model. VinFast, which launched U.S. sales in March last year with its VF 8 sport utility vehicle, relies heavily on domestic demand, with around 70% of deliveries going to its affiliate Green SM, or GSM, a taxi operator and leasing provider backed by VinFast CEO Pham Nhat Vuong. Founded in 2017 and making EVs since 2021, VinFast has announced numerous EV growth plans overseas. It is constructing a factory in North Carolina, which is expected to launch in 2025, and is planning its first manufacturing facilities in India.

VinFast stock surged to a value of $82.35 on August 28th. This pushed its market cap higher than every automaker globally except Tesla and Toyota. It has since plummeted below $20, about where it was before the rally started. VinFast is a Vietnamese electric vehicle manufacturer. However, the company’s operational center is still in Vietnam. “This year, we expand globally and have all the vehicles, including the right-hand drive model. So we are confident that we are going to achieve the guidance,” chairwoman Le Thi Thu Thuy told Reuters after the earnings were released.

How have the reviews been for VinFast cars so far?

VinFast broke ground on its North Carolina plant to build EVs in America. Per the website, the company has opened up 13 showrooms — all in California. VinFast says it has shipped 3,000 vehicles to North America. Initial plans called for Tesla-like direct-to-consumer sales, but VinFast is open to working with dealerships. Although speedy Vietnamese EV automaker VinFast did not achieve its 2023 delivery targets, its progress has picked up as it continues its ambitious expansion to new global markets, including the US and Europe. Other automakers, in contrast, have slashed EV sales targets and curtailed investment plans due to weakening demand in major markets such as the United States.

But the firm also reported a net loss of $2.39 billion, up 14.7 percent compared to 2022, after missing its EVs sales target. Despite being well-established in Vietnam, the company is still making annual losses. It reported net loss of $1.3 billion in 2021 and had lost $1.4 billion in the first three quarters of 2022. When the groundbreaking begins, VinFast expects phase one of the production facility construction to span five years and eventually bring 3,000 to 3,500 new jobs to India. At full capacity, VinFast anticipates the Tamil Nadu plant to produce up to 150,000 EVs per year.

The batteries are offered on a flexible plan with monthly subscriptions of $35 for the VF 8 and $44 for the VF 9. VinFast aims to target global electric vehicle sales of 42,000 units for 2022, while Tesla is aiming for 1.4 million units delivered this year. Its bullish target https://forexhero.info/ comes as other automakers have slashed their EV sales target and curtailed investment plans due to weakening demand in major markets such as the United States. The previously high valuations were based on belief in the industry’s potential, rather than performance.

How does VinFast make money?

Please ensure you fully understand the risks involved by reading our full risk warning. The dramatically different price tag almost a year on is due to the decline in investor enthusiasm for EV start-ups. For example, Rivian listed in late 2021 at a price of $129 per share and is now worth just $13. But the reviews we’ve read have been perhaps the most brutal we’ve seen for a modern car. Motortrend called the VF8 “nowhere near ready for public consumption.” Inside EVs described riding in the VF8 as “unbearable.” These are not exactly promising signs. Thanks to a wildly fluctuating stock price, you may have seen the name VinFast in the news lately.

Lessee responsible for insurance during the lease term, excess wear and tear as defined in the lease contract, $0.25/mile over 20,000 miles, plus disposition fee of up to $395 (not to exceed an amount permissible by law) at lease end. Through December 31, 2023, lease offer is available on the new 2023 VinFast VF 8 PLUS model leased through VinFast Auto, LLC (offer subject to change based upon availability). The purchase option at the lease end, excluding tax, title, and government fees, is $32,860, plus a purchase option fee of $350. Reuters reported VinFast sold only 7,400 cars last year—all in Vietnam—but has projected sales between 40,000 and 50,000 cars this year as it expands beyond the country’s borders. VinFast’s VF8 electric SUV is the only car currently for sale in the United States, and only at 13 showrooms in California, but the company is planning to start offering its larger SUV later this year and two others next year, CNN reported. By comparison, Tesla delivered 1.3 million cars in 2022 and Toyota sold 10.5 million.

Lessee responsible for insurance during the lease term, excess wear and tear as defined in the lease contract, $0.25/mile over 30,000 miles, plus disposition fee of up to $395 (not to exceed an amount permissible by law) at lease end. Not all customers will qualify for a security deposit waiver. Tax, title, license, registration, and dealer fees are additional fees due at signing. Through February 29, 2024, lease offer is available on the new 2023 VinFast VF 8 Eco model leased through VinFast Auto, LLC (offer subject to change based upon availability). Not all applicants will qualify for this offer; terms will be based on credit qualifications.

In May, VinFast recalled all of the cars it had shipped to the U.S. over a screen failure that saw the display go blank. VinFast lost $2.1 billion in 2022, the Guardian reported. The carmaker broke ground on its first American factory in North Carolina last month with plans to begin production at the $4 billion facility in 2025—as of June, only 137 electric vehicles by VinFast were registered on U.S. roads. The company reported a net loss of $650.1 million in the final three months of 2023, 3.4% wider than the third quarter, according to an exchange filing. While revenue from accelerated vehicle deliveries jumped 26% quarter-on-quarter to $436.5 million, that wasn’t enough to offset rising costs of sales and operations. It initially started manufacturing internal combustion vehicles in 2019 but moved on to electric vehicles – as of November 2022, it no longer produces any internal combustion models.

And even the shine of Tesla faded due to CEO Elon Musk’s antics with Twitter. Vehicle may show optional accessories that are not included in base vehicle and that are subject to availability. Certain Advanced Driver Assistance Systems (ADAS) and smart service technology features may be subject to delayed availability and be made available as part of a future software update to your vehicle and may be subject to subscription. VinFast’s design language blends sporty curves, luxurious strokes, and formidablepresence, all while optimizing performance, functionality, and elegant simplicity.

Its revenue in the final quarter of 2023 reached $437 million, missing analysts’ average estimate of $570.9 million, according to LSEG data. A total of 34,855 Vinfast EVs were delivered in 2023, accounting for $1.09 billion and up 111 percent from the previous year — but that figure was short of VinFast’s 50,000 target. “We remain focused on enhancing investment performance and strengthening our balance sheet by reducing production and materials costs.” “We saw favorable results in our business operations in the fourth quarter with strong revenue growth and improved profit margins,” Anh Nguyen, Vinfast Chief Financial Officer said in a statement. The communist state’s first homegrown car manufacturer is trying to crack the international market, aiming to compete with global EV giants such as Tesla. Although for US and other global consumers, VinFast may seem like a startup, its parent company is Vietnam’s largest conglomerate – which as interest in real estate, education and technology.

Two of his private investment companies, Vietnamese Investment Group and Asian Star, own an additional 1.1 billion shares. Combined, the entities own about 99.7 percent of the company. VinFast’s net losses in the final quarter of 2023 reached $650.1 million, also 1.3% higher than the same period of 2022. Shares in VinFast, backed by Vietnam’s largest conglomerate Vingroup, were up 2.3% in premarket trading. VinFast said in a filing submitted to the US Securities and Exchange Commission that its total revenue in 2023 was $1.19 billion, up 91 percent compared to the previous year.