What's Going On With VinFast Auto Shares Today?

VinFast Auto Ltd. VFS shares are trading relatively flat on Tuesday in the premarket session after falling almost 8% yesterday. 

The Vietnamese EV manufacturer is reportedly recalling approximately 6,000 VF 5 cars sold domestically for the replacement of the combination switch, Reuters reported.

The recalled vehicles, produced between March and December last year, had only one reported case of the switch error, with no incidents recorded in the market, the Reuters report added.

VinFast found during testing that on certain VF 5 Plus vehicles, exclusively sold in Vietnam, the front lights turn off if the driver forcefully pulls the combination switch to start the ignition, the report read.

VinFast stated that the issue stemmed from a design error in the control circuit board provided by the component supplier, Reuters added. 

VinFast, which made its Nasdaq debut in August last year, fell short of its 2023 target, delivering nearly 35,000 cars instead of the aimed 40,000 units. 

However, deliveries surged by 35% in the final quarter of 2023 compared to the third quarter, reaching 13,513 units.

Earlier on May 18, the company issued a voluntary safety recall of the VF 8 City Edition on which the Multimedia Head Unit (MHU) screen goes blank while driving or stationary.

The recall affected the 999 2023 MY VF 8 City Edition vehicles built from July 27, 2022, to November 25, 2022.

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Price Action: VFS shares are trading higher by 0.19% to $5.28 premarket on the last check Tuesday.

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

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