Tesla's Vietnamese Rival VinFast Sets Gaze On Indonesia: Report

VinFast Auto Ltd VFS, the electric vehicle (EV) manufacturer based in Vietnam, is reportedly setting its sights on expansion into Southeast Asia, with Indonesia as the starting point.

The company's CEO, Le Thi Thu Thuy, said that the company is on track to achieve its sales projection for the year, 45,000 to 50,000 vehicles, reported Bloomberg.

In the most recent quarter, VinFast reported sales of 10,027 cars and an additional 28,220 electric scooters. The report noted the company had sold 7,100 vehicles to GSM Green and Smart Mobility Joint Stock Co., a Vietnamese taxi company in which founder Pham Nhat Vuong holds a 95% stake.

Governments across the Southeast Asian region are setting aggressive targets for electric vehicle inclusion. "We intend to move into Asean aggressively, starting with Indonesia," said Thuy, as per the report.

While VinFast seeks substantial capital for its growth plans, Thuy mentioned the company would be leaning on its parent, Vingroup JSC, and founder Vuong for support over the coming 18 months.

The report further noted the company is constructing a $2 billion manufacturing complex in North Carolina and plans factories in Indonesia and India.

Thuy added that with improved operations, profitability is a feasible goal post-2025, and breaking even could occur as soon as the end of 2024.

VinFast marked its entry into the U.S. stock market in August, thanks to a merger with Black Spade Acquisition Co. 

Also Read: Battery Power Boost: VinFast Snaps Up Battery Firm VinES

Price Action: VFS shares are down 11.29% at $7.08 on the last check Monday.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.