VinFast to build an EV factory in North Carolina
The Vietnamese electric vehicle manufacturer has signed an MOU with the government of North Carolina to set up its first North American manufacturing plant. The company intends to invest up to USD 2 billion in the project's phase 1, creating thousands of jobs.
VinFast's factory will create a manufacturing center in Chatham County's Triangle Innovation Point megasite, covering an area of 800-hectares, with 3 main areas; electric cars and buses production and assembly, EV batteries production and ancillary industries for suppliers.
Construction for phase 1 of the factory is scheduled to start in 2022 – after a construction permit is granted and production is expected to start in July, 2024. The capacity of phase 1 is expected to be 150,000 vehicles per year, a press release reads.
According to the MOU, VinFast will continue to invest in this factory in future phases. Vehicles to be produced at the site include the the company's VF 9, a 7-passenger all-electric SUV and the VinFast VF 8, a 5-passenger, all-electric mid-size SUV.
This project will generate thousands of jobs for local communities, the company states in the press release without specifying the actual amount of new jobs.
VinFast is a young company and has only been operating since2017. The company is headquartered in Hanoi and boasts a vehicle production facility in Haiphong, Vietnam – which it says will have the capacity to produce 950,000 vehicles per year by 2026. VinFast has established operations in the US, Canada, Germany, France and the Netherlands.
"North Carolina's strong commitments in building a clean energy economy, fighting climate change and reducing greenhouse gas emissions in transportation make it an ideal location for VinFast to develop its premium, smart and environmentally friendly EVs," says Le Thi Thu Thuy, Vingroup Vice Chair and VinFast Global CEO in the press release. "Having a production facility right in the market will help VinFast to proactively manage its supply chain, maintain stabilized prices and shorten product supply time, making VinFast's Evs more accessible to customers, contributing to the realization of local environmental improvement goals."
Recently, Vingroup started construction of a battery plant in Ha Tinh, Vietnam on a 8 hectare plot for phase 1, with a capacity of 5 GWh per year. The facility is expected to be fully installed and running at full capacity from late 2022.