VinFast adjusts deadline, not expected to begin production in Chatham County until 2028

VinFast has announced an adjustment to their original timeline for the launch of its North Carolina manufacturing facility, which is now expected to begin production in 2028.

“This decision will allow the company to optimize its capital allocation and manage its short-term spending more effectively, focusing more resources on supporting near-term growth targets and strengthening existing operations,” said officials in a release.

Officials said the second-quarter delivery results were encouraging; however, ongoing economic headwinds and uncertainties in different macro-economies and the global EV landscape made them decide to take a more prudent outlook for the rest of the year.

The adjustment doesn’t change VinFast’s fundamental growth strategy and key operating targets. The company says they anticipate strong sales growth in the second half of this year, driven by a diverse product range with competitive pricing targeting a larger customer base and a rapidly expanding global distribution network in key regions, including new markets in Asia and existing markets adopting a dealership model.

Madam Thuy Le, Chairwoman of the Board of Directors, stated, “We have adopted a more prudent outlook that is carefully calibrated to near-term headwinds, taking into full consideration the realities of market volatility and potential challenges. Our robust long-term strategy and proven execution capabilities position us well to meet the evolving needs of the dynamic global EV market.”

Recognizing the rapid transition from gasoline vehicles to electric vehicles in Vietnam, VinFast will leverage its strong foundation in the domestic market to capitalize on this growth momentum.

The company’s advantages in Vietnam include a comprehensive charging station system, a diverse product portfolio catering to different customer needs, a flexible battery subscription policy, and excellent after-sales service that builds trust and customer loyalty.

The company also announced that it will release its 2Q24 financial results before the market opens on August 15, 2024.

In May, WRAL News reported there could be delays in the opening of the factory in Chatham County, which was initially supposed to open in 2025. At the time, Reuters reported that “a person briefed on the matter” said the delay at that time came as the Vietnamese electric vehicle maker struggled to gain interest with U.S. customers.