VinFast Opens Second Vietnam Factory Amid Global Expansion Delays

Vietnamese electric vehicle manufacturer VinFast has commenced production at its second domestic factory in Ha Tinh province, which has an initial annual capacity of 200,000 units to boost output of affordable mini urban EVs. This new facility complements its flagship Haiphong plant, which is expected to reach a capacity of 950,000 units by next year, supporting VinFast's goal of producing 1 million vehicles annually to meet growing domestic and international demand. Despite ambitious plans to expand globally with factories in the United States, India, and Indonesia, VinFast faces delays and intense competition, with its U.S. factory launch postponed until 2028 and the India plant expected to become operational soon. Financially, the company reported a narrower Q1 net loss of $712.4 million but showed a 150% revenue surge to $656.5 million, reflecting strong growth momentum amid challenges. CEO Nguyen Viet Quang emphasized that the Ha Tinh plant would significantly contribute to scaling production and meeting rising EV demand in both domestic and foreign markets. VinFast's strategic focus on affordable mini EVs and international expansion underscores its ambition to become a major player in the global EV market.