Vietnamese electric vehicle maker Vinfast is competing with Chinese car companies to market its EVs in Southeast Asia, aiming to benefit from the Asean Free Trade Agreement (Afta).
The company plans to first export EVs to Thailand before deciding whether to invest in building an EV assembly plant here, said Vu Dang Yen Hang, chief executive of Vinfast Auto (Thailand).
Thailand is a target country because of the rapid growth of its EV market, which promises good business prospects, she said.
“The Thai government is promoting the EV industry through incentive packages. They are attractive and prompted Vinfast to expand its business into the country,” said Ms Hang.
The company is in talks with the Board of Investment on investment privilege packages for foreign firms, she said.
“We have yet to make a decision on building an EV factory in Thailand. We are just at the stage of conducting a study. A final decision will be made by our parent company in Vietnam,” said Ms Hang.
Vinfast initially wants to focus on selling more EVs in Asean. The company expects to see good sales because it is not subject to tariffs when exporting to countries under the Afta.
Vinfast was established in 2017 and started producing EVs in 2021.
The company is building EV factories in the US state of North Carolina and India and also plans to build a new plant in Indonesia.
Vinfast set a target to export EVs to 50 countries this year, said Ms Hang. Besides the US, Canada and European countries, it is introducing its electric mobility technology to countries in Asean, the Middle East and Africa.
In Thailand, Vinfast has formed a network of 15 car dealers running 22 showrooms in Bangkok, Chiang Mai, Khon Kaen, Ubon Ratchathani, Ayutthaya and Chon Buri.
“This marks our first step to introduce EVs in Thailand. Our dealers also see an opportunity to benefit from the trend in sustainable transport,” said Ms Hang.